China’s FDI in Zimbabwe tops US$10bn

LIVINGSTONE MARUFU IN VICTORIA FALLS
China has cemented its position as Zimbabwe’s largest foreign direct investor, injecting more than US$10bn into the country over the past decades through investments spanning power generation, mineral processing, manufacturing and digital infrastructure.
The investment surge underscores the deepening economic partnership between Harare and Beijing, which has intensified since Zimbabwe adopted its Look East Policy following strained relations with Western countries, the imposition of sanctions, and the withdrawal of most concessional financing amid mounting debt arrears.
Chinese capital has become a key source of funding for strategic infrastructure and industrial projects, helping to reshape Zimbabwe’s productive sectors while supporting employment creation and technology transfer.
Speaking at the Zimbabwe National Chamber of Commerce (ZNCC) Annual Congress in Victoria Falls, Chinese Ambassador to Zimbabwe, Zhou Ding, said the enduring friendship between the two countries had translated into robust economic cooperation.
“China has long been Zimbabwe’s biggest source of foreign direct investment, with cumulative inflows reaching approximately US$10 billion across sectors such as steel, cement, fertiliser, building materials, mineral processing, power stations and digital infrastructure,” Ambassador Ding said.
“These investments are transforming Zimbabwe’s economic landscape by building industrial supply chains, strengthening local manufacturing capacity, and generating substantial employment opportunities and tax revenues.”
Beyond investment, Ambassador Ding said bilateral trade continued to expand at a record pace.
According to Chinese customs statistics, trade between the two countries reached US$4.4 billion in 2025, representing a 15.2% year-on-year increase and the highest level ever recorded.
Zimbabwe exported goods worth US$2.57bn to China while importing US$1.83bn, resulting in a trade surplus of approximately US$740m.
“What is particularly encouraging is the growing diversification of our trade relationship. While traditional exports such as minerals and tobacco remain significant, new growth areas are emerging,” he said.
Ambassador Ding noted that Zimbabwean agricultural and horticultural exports, including macadamia nuts, citrus fruits, avocados and blueberries, are increasingly gaining access to the vast Chinese market.
At the same time, imports of advanced machinery, solar equipment and electronic products from China are supporting Zimbabwe’s industrialisation agenda by improving manufacturing efficiency, lowering production costs and enhancing livelihoods.
The ambassador also encouraged Chinese companies operating in Zimbabwe, many of which are members of the Zimbabwe National Chamber of Commerce,to deepen their engagement with the business community and contribute more actively to the country’s economic transformation.
He said 2026 marked a significant milestone in China-Africa trade relations following Beijing’s decision to grant zero-tariff treatment to exports from 53 African countries, including Zimbabwe.
“Effective May 1, 2026, China has granted zero-tariff treatment to 53 African countries with which it has diplomatic relations, including Zimbabwe. This is one of the most comprehensive and significant unilateral market-opening measures ever extended to Africa and reflects China’s firm commitment to high-level opening-up, South-South cooperation and the building of an all-weather China-Africa community with a shared future for the new era,” Ambassador Ding said.
He said the policy would significantly improve the competitiveness of Zimbabwean products in the Chinese market by eliminating import tariffs, while creating fresh opportunities for export diversification and value addition.
“For Zimbabwe, this policy unlocks tremendous opportunities, particularly for its business community. With tariffs eliminated, Zimbabwean products can access the Chinese market at lower cost and with greater price competitiveness. The policy will also stimulate export diversification, encourage greater investment in value addition, and propel Zimbabwe’s transition from a raw material exporter to a supplier of higher-value products, thereby strengthening economic resilience and enhancing its capacity for independent and sustainable development,” he said.