$1bn Zim steel project kicks off

Chinese company, Tsingshan Holding Group, has begun working on its $1 billion steel plant in Zimbabwe, said Winston Chitando, Zimbabwe Minister of Mines and Mining Development.

Zimbabwe signed the $1 billion deal with Tsinghan in June last year.

The plant is expected to produce two million tons of steel annually.

"Tsingshan personnel are on site and they have started geological surveys. Government is working closely with them to ensure that the project takes off smoothly," Chitando adds.

The initial target is set to produce one million tons per annum by 2022 before growing to two million by 2026.

According to Chitando, the project will have an economic ripple effect.

“It will certainly create employment and will be good for import substitution, foreign currency generation and should benefit downstream industry.”

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