The government of Malawi has signed a landmark $7 billion agreement with Chinese conglomerate, Hunan Sunwalk Technology Group, marking the largest foreign investment in the nation’s mining sector.
The deal, signed on June 16, 2025, during the China-Africa Economic and Trade Expo (CAETE) in Changsha, China, includes a large-scale titanium extraction project in Salima and the creation of a state-of-the-art mineral processing facility in the country.
Following the signing, the country’s Minister of Mining, Dr. Ken Zikhale Ng’oma, hailed the deal as a strategic breakthrough, emphasizing its alignment with President Dr. Lazarus McCarthy Chakwera’s long-term vision of transforming mining into a key driver of the national economy.
“This MoU signals a new era; anchored on sustainability, innovation, and inclusive growth. It aligns squarely with President Chakwera’s agenda to turn mining into a driver of national development,” Ng’oma said.
Notably, Hunan Sunwalk CEO and Founder Hou Xingwang described the agreement as a strategic milestone for both nations, stating that it will, “facilitate the flow of capital, technology, and skilled human resources between China and Malawi”
He also expressed interest in exploring investments in agriculture and other sectors to contribute to Malawi’s broader economic development.
Ng’oma emphasized that the partnership goes beyond raw material extraction, delivering technological transfer, strict environmental compliance, and human resource development.
He highlighted Hunan Sunwalk’s successful performance in Zimbabwe as a testament to the company’s capabilities.
Reassuring the public, the Minister said, “This is the first time Malawi has entered into such a comprehensive MoU with a multinational mining corporation.”
“We ensured that due diligence was conducted thoroughly, and we are confident that the interests of Malawians are well protected.” He added.
Officials from both parties described the agreement as a “win-win” venture, with potential to create thousands of new jobs, infrastructure development, and enhance economic growth.
The Chinese company has reportedly commenced exploration and feasibility studies in the Salima District.
As more African countries move away from traditional EU and US aid models, which often come with allegiance requirements, Malawi is among those eagerly anticipating the transformation of its natural resource sector through partnership with China.
This deal could mark the beginning of a new industrial chapter, one that combines local ambition with international expertise.
Source: Business Insider