Tanzania and Burundi have signed a $2.15 billion agreement with two Chinese companies to build a railway for transporting nickel and other metals to Dar es Salaam, Tanzania’s port city. The project, managed by China Railway Engineering Group and China Railway Engineering Design and Consulting Group, is a significant step towards enhancing trade and regional connectivity.
Tanzania and Burundi have formalized an agreement with two Chinese firms to construct a railway dedicated to transporting metals, especially nickel, which is a vital mineral used in batteries. The project, which is valued at $2.15 billion, will connect the two nations and facilitate the movement of these resources to Dar es Salaam, Tanzania’s main port city. The signing ceremony was officiated by Tanzania’s Minister of Transport, Makame Mbarawa, highlighting the collaboration established between the nations and the Chinese firms.
The agreement represents a significant investment in infrastructure aimed at enhancing trade between Tanzania and Burundi. Nickel, regarded as a strategic battery mineral, is in high demand due to the increasing reliance on electric vehicles and renewable energy solutions. The construction of the railway, undertaken by China Railway Engineering Group and China Railway Engineering Design and Consulting Group, is expected to bolster economic activities in the region and promote efficient transport of goods.
In conclusion, the collaboration between Tanzania, Burundi, and the Chinese firms marks a pivotal development in regional infrastructure and trade. With a focus on transporting nickel and other metals, the project is poised to enhance economic growth and strengthen ties among the participating countries. This railway initiative reinforces the strategic importance of efficient transportation in supporting emerging markets in Africa.
Original Source: asia.nikkei.com
