Dar es Salaam. Tanzania’s commercial sector is experiencing a renewed surge of activity as importers draw increased value from the Africa–China trade corridor.
What began as a supply-and-demand relationship, has now matured into a crucial channel for industrial parts, motor vehicles, electronics, spare parts for cars and motorcycles, and iron, steel and metal products and an array of technological inputs that fuel local productivity.
Experts say that businesses that once grappled with slow supply cycles and inconsistent access to credit are now benefiting from more predictable trade flows and improved access to financial tools designed for cross-border commerce.
The Tanzania Motor Vehicle Traders Association (TMVTA) reports that interest in hybrid and electric cars doubled between 2023 and 2024, with CNG vehicles also rising in popularity as the country pushes for affordable and cleaner transport options.
These vehicles predominantly arrive from Guangzhou, Zhejiang and Shanghai, where the supply networks are specialised and cost competitive.
TMVTA spokesperson Hamisi Rajab noted that the industry’s growth relies heavily on dependable financing.
“Reliable financing and faster payments give our members an edge. If you delay by a few days, stock moves. The banks that support timely transactions directly support our growth,” he said.
A similar trend is visible in the technology and industrial machinery segments. From CNC machines to factory belts and electronic components, Chinese suppliers remain the backbone of many Tanzanian industries.
Experts note that the demand is being pushed higher by local manufacturing projects and the increasing adoption of digital tools across sectors.
According to the Head of Trade at Stanbic Bank Tanzania, Mr Anthony Kimambo, what stands out is the appetite among Tanzanian traders to scale. He told The Citizen in an interview that importers have become more strategic, seeking not just funds but efficiency.
“Tanzanian importers need more than capital. They need reliability, speed and risk assurance.
Our Africa–China solutions, strengthened by our partnership with ICBC, enable clients to transact confidently using RMB, access competitive trade finance, and connect directly with Chinese manufacturers,” he said.
Demand for imported motor vehicles, particularly hybrids and energy-efficient models such as CNG vehicles has climbed steadily.
One of the most transformative shifts in the trade corridor has been the increased use of the Renminbi (RMB) for business payments.
The ability to transact directly in RMB has reduced transaction costs and minimised delays, a change widely welcomed by importers who previously encountered fluctuating forex rates and lengthy settlement procedures.
Mr Kimambo explained that this trend is reshaping the import environment.
“Paying in RMB eliminates layers of conversion costs and significantly reduces transaction time. It also gives Tanzanian importers access to suppliers who prefer RMB for price stability and ease of settlement,” he noted.
Improved access to trade finance has become another major catalyst for import growth. Letters of credit, guarantees, and supply-chain financing now allow traders to maintain their cash flow while goods are still en route from China.
At Mwandambo Engineering Supplies, the impact has been measurable. The firm’s Managing Director, Fadhili Mwandambo, said the tools have strengthened their competitiveness.
“Before, importing essential machinery parts required tying up capital for months. Now, with Letters of Credit and Cargo Advance Financing, we ship goods faster and keep operations running without cash constraints,” he confirmed.
Such tools have been particularly important for SMEs looking to increase order volumes without exposing themselves to additional risk.
Currency volatility remains a major challenge for importers. The adoption of digital Global Markets tools, which provide options for hedging against sudden currency swings, has helped businesses maintain predictable pricing and avoid losses. Mr Kimambo notes that this is becoming standard practice.
“We have seen businesses lose millions due to fluctuations in the dollar and yuan. Our tools give them the ability to plan with certainty and protect their revenue,” he assured.
China remains Africa’s largest trading partner, with bilateral trade reaching an estimated $295.6 billion in 2024. Platforms such as the China International Import Expo (CIIE) continue opening the door for African traders to engage suppliers, understand consumer needs, and build reliable networks.
Standard Bank’s Business and Commercial Banking CEO, Bill Blackie, recently highlighted the role such platforms play
“This is where possibility meets reality. We help our clients’ land the right partnerships, ensuring African businesses can position themselves and participate effectively in the global economy,” said the business segment’s leader of Africa’s largest lender, which trades locally as Stanbic Bank.
Industry players point to three areas of opportunity in the import sector: the rising demand for green mobility solutions, growth in local manufacturing supported by Chinese industrial inputs and Technology, and the expansion of digital trade platforms that link Tanzanian businesses directly to verified Chinese wholesalers.
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