Tsingshan Signs MoU Pledging $10B to Develop Mining Sector in Madagascar

On 6 February 2026, at the Iavoloha Presidential Palace, Tsingshan and the transitional Government of Madagascar signed a Memorandum of Understanding (MoU) to cooperate to develop the mining sector. The President of Madagascar Colonel Michael Ranjaneri and Tsingshan’s GM for the Green Industrial Park Business, SUN Jianqiang, led the two dies and signed the Memorandum

The scope of cooperation covers exploration, extraction, processing, as well as related infrastructure. It also includes the development of an industrial zone specializing in mining. Initially, Tsingshan has set its eyes on iron ore, since the company already has similar operations in Zimbabwe. In the future, it is not excluded that Qingshan might move into other minerals.

President Ranjaneri underscored that the cooperation is aligned with the development strategy of Madagascar, which is rich in mineral resources. Therefore, the Government of Madagascar fully supports the sustainable and responsible development of the mining sector to bring benefits to its people.

On his part, Tsingshan GM Sun highlighted his company’s commitment to smart and green mining. The benefits will extend well beyond mining thanks to the construction of highways, railways, seaports, and the building up of industrial capacity.

“This project is not just another mine or factory. It has the potential to fundamentally change our economic structure. The stated goald is clear: transition from an economic model centered on the export of raw materials to a processing-based economy based on value creation.”

Malagasy Governrment Spokesperson

According to the MoU, the total Foreign Direct Investment (FDI) could exceed USD 10 billion, eventually. Some 100,000 jobs are forecasted to be created upon completion. A piece of land covering 5,000 hectares has been identified in the Atsima Andrefana region in southeast Madagascar for the industrial park.

Some old hands cautioned against the nature of such MoU, which is less of a contractual obligation and more of a declaration of intention. Firstly, the government is transitory, and a new duly elected government may not recognize it. Then, there is no definite timeline for the disbursement, which signals that the commitment for realization is not particularly strong, and even if implemented, it could only be a partial realization.