Online Reporter
Business Reporter
Zimbabwe’s heavy industry sector has roared back to life after more than two decades of dormancy, with Dinson Iron and Steel Company completing Phase 1 of its US$1,5 billion Manhize steel plant.
The country last operated a fully integrated steel plant in 2008, when Zisco — once the biggest of its kind north of the Limpopo — ceased operations at the height of the hyperinflation crisis.
At its peak in the late 1990s, Zisco produced up to one million tonnes of steel annually, supplying both domestic and regional markets.
In line with Vision 2030, through which the Second Republic seeks to achieve an upper middle‑income economy, the Government granted the Dinson Iron and Steel Company project national project status. It is now Zimbabwe’s biggest industrial investment in decades and a major milestone in the drive towards import substitution, heavy‑industry revival and export growth.
Under Phase 1, the Manhize steel plant is producing 600 000 tonnes of steel products per year. Production is projected to rise to 1,2 million tonnes in Phase II, 3,2 million tonnes in Phase III and ultimately five million tonnes in the final phase.
In a telephone interview, Dinson project director Mr Wilfred Motsi said the company was now focused on Phase II, which includes developing a cement manufacturing plant before year‑end.
“At the moment, we are producing 600 000 tonnes of different steel products, including pig iron, steel billets, wire rods and mining mill balls. Phase I of the steel plant was completed in December last year, creating 2 000 direct jobs and thousands more across downstream industries,” he said.
“We are now seized with Phase II of the project, which entails expanding the plant, targeting a production capacity of 1,2 million tonnes annually.
“We are also developing our cement manufacturing plant that will employ about 500 people. The cement plant will be completed before the end of this year, tapping into the slag produced as a by‑product of steel manufacturing.”
Mr Motsi said completion of Phase 1 has significantly boosted demand for products such as pig iron, steel billets, round bars and wire rods in both local and export markets.
The company, which recently received the Best Exporter of the Year (2025) Award from ZimTrade, is already exporting to regional markets such as South Africa and Zambia.
He added that the granting of Special Economic Zone status to Manhize was stimulating the establishment of additional industries in the area.
“The granting of Special Economic Zone status means other industries in different sectors will be attracted to establish operations within the zone, thereby promoting economic growth and development.
“This is aligned with Zimbabwe’s economic development agenda and Vision 2030,” he said.
In a separate interview, economist Ms Wendy Mpofu said completion of Phase 1 marks a major structural shift in Zimbabwe’s economy from primary commodity dependence to heavy industrial production.
“Steel production underpins the mining, construction, infrastructure and manufacturing sectors. Therefore, the completion of Phase I is a significant structural transformation for Zimbabwe — this milestone has the potential to anchor downstream value chains and deepen domestic industrial capacity,” she said.
“Since the closure of Zisco, the country has heavily relied on imported steel products — and Dinson is set to substantially reduce the import bill.
“As output continues to scale up, Zimbabwe could move from being a net importer to a net exporter of steel, strengthening the trade balance and reducing pressure on foreign currency demand.”
