Industrialization

ZAMBIA INDUSTRIALISATION KEY FIGURES

Zambia’s manufacturing sector attracted more than USD 4.0 billion in investment, much of it through Multi-Facility Economic Zones, as the government pursues a diversification agenda built around 412 potential new products identified across 25 sectors, 73 of them linked to critical energy transition mineral value chains.

The National Industrial Policy 2018-2027, whose Mid-Term Review and 2024-2027 Implementation Plan the Ministry of Commerce, Trade and Industry has been validating, found a flagship demonstration in the reopening of the Zambia-China Mulungushi Textiles plant in Kabwe.

The Diversification Agenda

The Ministry of Commerce, Trade and Industry, together with UNCTAD, launched a Rapid Assessment Report on Value Addition and Diversification identifying 412 potential diversification products across 25 sectors, with 73 of those products directly linked to critical energy transition mineral value chains^[1]. The report flags Zambia’s continued dependence on mineral extraction with limited downstream processing as a structural vulnerability, and points to opportunities to strengthen mining-adjacent manufacturing, services and technology-intensive activities^[1].

Multi-Facility Economic Zones

The manufacturing sector has attracted more than USD 4.0 billion in investment, much of it through Multi-Facility Economic Zones^[2]. The Lusaka South Multi-Facility Economic Zone grew from 17 operational companies with a USD 264 million investment portfolio and over 7,000 jobs at the end of 2021 to 20 companies, USD 1.4 billion invested and more than 31,000 jobs four years later^[2]. Four newly declared zones, the Wonderful Group Industrial Park in Chilanga, the Mukuni Multi-Facility Economic Zone in Kazungula District, the Monze Multi-Facility Economic Zone and the Golden Baobab Multi-Facility Economic Zone in Kafue District, target a combined USD 3 billion in investment and more than 13,000 additional jobs^[2].

Policy Framework and a Flagship Project

Zambia’s industrial policy is anchored in the National Industrial Policy 2018-2027, whose Mid-Term Review and 2024-2027 Implementation Plan the Ministry of Commerce, Trade and Industry has been validating with the United Nations Economic Commission for Africa^[3]. The reopening of the Zambia-China Mulungushi Textiles plant in Kabwe, following a three-year revitalisation involving the Industrial Development Corporation, Chinese partners and the Ministries of Finance and Defence, is positioned by the Ministry as a flagship of that policy in action, aligned with the Eighth National Development Plan^[3].

Investment Opportunities

The 412 products identified in the Rapid Assessment Report, and specifically the 73 tied to critical energy transition minerals, mark out where Zambia’s industrialisation strategy expects new manufacturing capacity to be built, while the four newly declared Multi-Facility Economic Zones, targeting a combined USD 3 billion, point to where the government is actively steering that capacity, detailed further on the dedicated Industry page^[1][2].

Last Update: September 2026

References

1. Ministry of Commerce, Trade and Industry, Zambia Unveils Roadmap for Industrialization and Economic Diversification
2. Ministry of Finance and National Planning, 2026 Budget Speech
3. Ministry of Commerce, Trade and Industry, President Hichilema Reopens Zambia-China Mulungushi Textiles in Historic Industrial Milestone