A US$3.6 billion mega industrial park is being developed in Beitbridge, Zimbabwe, led by the Chinese company Xinganglian (Shanxi) Holding Group. The project aims to utilize Zimbabwe’s rich deposits of coal, iron ore, and chrome to establish a major steel industry. Experts view this initiative as part of China’s broader strategy in southern Africa, capitalizing on local resources and labor.
In the southern Zimbabwean town of Beitbridge, a significant industrial initiative is underway, focusing on a mega industrial park tasked with generating electricity, chromium-based products, and steel output. This project, known as the Palm River Energy Metallurgical Industrial Park, represents a US$3.6 billion investment led by the Chinese firm Xinganglian (Shanxi) Holding Group, which seeks to harness Zimbabwe’s extensive coal, iron ore, and chrome deposits to establish a robust steel industry.
Spanning 5,163 hectares within a designated economic zone, the park will encompass mining operations, power generation facilities, coke production, and steel manufacturing. The construction of this project will occur in five distinct phases over the next 12 years, reflecting a long-term commitment to industrialization in the region. Experts suggest that China has strategically selected Zimbabwe as the first site for its steel and chrome industrialization efforts in Africa.
Lauren Johnston, an authority on China-African relations and associate professor at the University of Sydney’s China Studies Centre, noted, “This makes sense. Zimbabwe has a rich human capital and natural resource endowment.” Such views underline the potential of Zimbabwe in the broader context of China’s ambitions in southern Africa, capitalizing on the nation’s resource wealth and skilled workforce.
China’s growing involvement in Zimbabwe, particularly through the Palm River Energy Metallurgical Industrial Park, marks a significant shift in regional economic dynamics. This investment signals China’s intent to leverage Zimbabwe’s abundant resources and skilled workforce to establish a strategic industrial foothold in southern Africa. As the project unfolds, it may redefine Zimbabwe’s role in the regional steel sector and enhance China’s influence across the continent.
Original Source: www.scmp.com
