China-Tanzania Relations

china tanzania

China is Tanzania’s first trading partner and investor. Total Chinese exports to Tanzania reached USD 1.77 billion in 2018 and total FDI reached USD 115 million in 2019. 

China Tanzania Trade

In 2018, Tanzania’s export to China amounted to USD 144.59 million.

China is Tanzania’s prime import partner by volume of imports. In 2018, Tanzania’s imports from China amounted to USD 1.77 billion.

Tanzania imports a variety of products from China including machinery, electronic equipment, vehicles, and iron and steel.

China Tanzania Economic Relations

Tanzania is China’s largest aid recipient country in Africa. Since 1964 China has provided various kinds of assistance to Tanzania.

The largest Chinese-supported projects in Tanzania include the Tanzania Zambia Railway (TAZARA), the Friendship Textile Mill, the Mubarali Rice Farm, the Kiwira Coal Mine, and the Mahonda Sugar Cane Factory.

Chinese Foreign Direct Investments (FDI) to Tanzania

China is Tanzania’s N1 investor in the country. In 2019, the outflow of FDI from China to Tanzania reached USD 115 million out of a total of USD 1.1 billion in FDI. This was -35% less than USD 177 million in Chinese investments in 2018 and a record USD 226 million in 2015.

China and Tanzania have embarked on 19 multi-billion dollar projects. Among these projects, is the construction of a large port in Bagamoyo costing USD 10 billion. The project is jointly funded by China Merchants Holdings International and Oman Investment Fund. However, the construction of the Bagamoyo port has been halted as of June 2019.

In April 2021, Tanzania’s President Samia Suluhu met with the leaders of the Chinese Chamber of Commerce in the country to discuss various issues pertaining to trade and investment.

The Chamber informed that 800 Chinese companies are ready to invest in Tanzania in manufacturing, telecoms, pharmaceuticals, and automotive, and to establish Industrial Parks.

Latest Update: 21st April 2021

Sources: Bank of Tanzania, World Bank, CIA World Factbook, United Nations COMTRADE







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