By Bruce Chahwanda
CHINESE company, Tsingshan Group is set to increase the production of steel products in Zimbabwe to 10 500 0000 tonnes annually.
Three Tsingshan group operations in Zimbabwe which include Dinson mine, Selous and Manhize steel plant are set to transform the country’s steel industry creating thousands of jobs.
Addressing stakeholders at the signing of the addendum to the MOU between the Zimbabwe government and Tsingshan group at State House, Vice President General Retired Dr Constantino Chiwenga said the agreement is evidence of the traction of the engagement and re-engagement policy adopted by the second republic.
Minister of Mines and Mining Development Honourable Winstone Chitando said massive steel production of more than 10 million tonnes annually will be witnessed.
“We witnessed the signing ceremony to the addendum between Tsingshan which will contribute to an upper middle-income society. In 2018, a framework was agreed upon on Manhize iron ore and value addition plant to produce 600 0000 tonnes of carbon steel production, coke battery 150 000 tonnes, 180 000 tonnes of annual capacity of ferrochrome while the Selous plant is doing 150 0000 tonnes annually.
“Today’s agreement will see 5 000 0000 tonnes of carbon steel annually, 5 000 000 tonne coke per annum, 500 000 of ferrochrome per annum. This is a consolidation and expansion of Tsingshan production including the 100KM power line and railway line from Mvuma to Manhize. Existing production facilities will get into production and processing of copper and also produce 1 000 000 tonnes of cement annually, lithium plant to process 2 000 000 tonnes per annum and railway line to the Beira port,” he said.
Dinson Iron and Steel Company Managing Director Mr Benson Xu said the signing of the addendum is an upgrade of the commitment by the group towards their investments in Zimbabwe.
“In April 2018, we agreed on a road map, integrated the steel plant, and reviewed and upgrade our commitment through the signing of an MOU to focus on ferrochrome carbon steel, cement & Lithium processing plant and railway line constriction. The implementation of this MOU shows our long-standing partner in Zimbabwe and will attract more investments into Zimbabwe from China,” he said.
Zimbabwe’s open-for-business mantra continues to attract huge interest and the gesture by the Tsingshan group is an endorsement of the obtaining investment climate.