Construction of Chinese economic zone begins in Chattogram

Construction of the Chinese Economic and Industrial Zone (CEIZ) began in Anwara, Chattogram, on Tuesday (28 July), and the project is expected to attract about $1.3 billion in investment and create more than 100,000 jobs.

The project is also expected to support Chattogram's development as a modern industrial and logistics hub and strengthen economic cooperation between Bangladesh and China, according to a press release.

Finance Minister Amir Khasru Mahmud Chowdhury attended the event as chief guest, while Home Minister Salahuddin Ahmed was present as special guest.

Yao Wen, Ambassador of China to Bangladesh, and Ashik Chowdhury, Executive Chairman of the Bangladesh Economic Zones Authority (BEZA), also addressed the event.

Barrister Mir Mohammad Helal Uddin, State Minister for Land and Chittagong Hill Tracts Affairs, and Sarwar Jamal Nizam, Member of Parliament for Chattogram-13 (Anwara–Karnaphuli), also spoke at the programme. Other members of parliament from Chattogram attended the event.

Li Changgui, Vice President of China Road and Bridge Corporation (CRBC), the developer of CEIZ, and Wang Benqian, Chairman of Bangladesh CEIZ Company Limited (BCCL), also addressed the gathering.

Around 70 representatives of Chinese businesses, comprising existing and potential investors in Bangladesh across a range of sectors, joined the ceremony.

Several sublease agreements were signed at the event. The CEIZ One-Stop Service Centre was inaugurated, and a ceremonial tree plantation marked the formal commencement of construction.

Li Changgui said the groundbreaking marked a new phase in the project and brought new responsibilities.

"Today's groundbreaking marks a new phase in the project. CRBC will work closely with all partners to fully advance the construction and operation of the zone, striving to build CEIZ into a key platform for bilateral industrial cooperation, a major destination for international investment and a model zone of mutual benefit," he said.

"We aim to make new and greater contributions to the common development of both countries."

Yao Wen said the groundbreaking ceremony marked an important step in implementing the outcomes of Prime Minister Tarique Rahman's visit to China.

"Standing at this new historical starting point, China is ready to work hand in hand with Bangladesh to carry forward our long-standing friendship, deepen strategic alignment, expand practical cooperation and translate the important consensus reached by our leaders into tangible benefits for development," he said.

Finance Minister Amir Khasru Mahmud Chowdhury said attracting investment was central to the government's plans for economic development, employment generation and building a trillion-dollar economy by 2034.

"All of us are working towards investment. It is the only thing that will drive development, create employment and lead to a trillion-dollar economy in 2034," he said.

"So, today's development of the Chinese Economic and Industrial Zone is a building block towards the ambition that this government has for the future of Bangladesh's economy."

Home Minister Salahuddin Ahmed said Bangladesh was committed to facilitating both foreign and domestic investment.

"To our foreign and domestic investors, let me be clear: Bangladesh is open for business, and we mean business," he said.

"Today's groundbreaking is not just the start of construction; it is the foundation of a lasting economic bridge between Bangladesh and China. Together, let us build a zone that sets new standards, improves living standards, drives sustainable growth and creates a prosperous future for generations to come."

BEZA Executive Chairman Ashik Chowdhury said that after the prime minister's visit to Beijing and Dalian in June, more than 30 Chinese companies had committed about half a billion dollars in investment.

"After the prime minister visited Beijing and Dalian in June, more than 30 Chinese companies committed roughly half a billion dollars to a site that is still open ground," he said.

"Typically, opening a factory or obtaining approval for machinery in Bangladesh takes roughly six months to a year. We have already committed that, within the next three months, we will roll out a process under which you will be able to get it done within 14 days," he said.

"That is a material shift from what you have seen for decades in Bangladesh."

CEIZ, one of the key projects underpinning industrial, trade and investment cooperation between Bangladesh and China, is being developed on approximately 800 acres of land.

Implemented under a government-to-government initiative, the economic zone is expected to attract large-scale Chinese investment, support export-oriented industrialisation, generate employment and facilitate modern industrial infrastructure.

The initiative followed the signing of a memorandum of understanding between Bangladesh and China during Xi Jinping's 2016 visit to Bangladesh.

On 17 June 2026, the Cabinet Committee on Economic Affairs approved the Development Agreement and Land Lease Agreement with Bangladesh CEIZ Company Limited, which was established to implement the project.

The Bangladesh Economic Zones Authority will hold a 30% stake in the company, while China Road and Bridge Corporation will hold the remaining 70%.

As BEZA's equity contribution, the 50-year lease value of the acquired land has been incorporated as equity, while the developer will contribute its share in cash.

The capital will be used for internal development, infrastructure construction and the operation of the zone.

To create an international-standard industrial environment at CEIZ, the Supporting Infrastructure Project for the Chinese Economic and Industrial Zone was approved by the Executive Committee of the National Economic Council (Ecnec) on 16 June 2026.

With an estimated cost of Tk41.89 billion, the project will include a 1,235-metre jetty link road, a 1,181-metre four-lane road and a multipurpose jetty capable of accommodating vessels with a deadweight capacity of 20,000 tonnes.

The infrastructure will also include a central effluent treatment plant with a capacity of 25 million litres per day, a gas transmission line and a District Regulating Station with a capacity of 4.24 million cubic feet per day.

Other facilities will include a water reservoir with a storage capacity of 20,304 cubic metres, a solid-waste collection station with a capacity of 60 tonnes per day, approximately 12 kilometres of boundary wall and two 33/11-kilovolt substations.

The Development Project Proposal puts the total project cost at approximately Tk41.89 billion.

Of the amount, around Tk24.67 billion is expected to be financed through foreign loan assistance, while approximately Tk17.22 billion will come from Government of Bangladesh funding.

The foreign financing component is proposed to be secured through the Export-Import Bank of China's Preferential Buyer's Credit facility.

Implementation of the infrastructure project will provide CEIZ with the international-standard facilities required for industrial operations, including gas, electricity, water, waste management, transport and jetty services.

A tripartite agreement has already been signed among BEZA, Chattogram Water Supply and Sewerage Authority and CRBC to ensure water supply to the zone.

The project is scheduled to be implemented from January 2027 to December 2031.

Its proximity to the Karnaphuli Tunnel, Chattogram Port and Shah Amanat International Airport gives the zone significant connectivity advantages.

The project will also support several key commitments in the government's Election Manifesto 2026.

It directly advances priorities under Chapter Three, "Economic Reconstruction and Recovery", including employment generation, investment and foreign direct investment, and strengthening infrastructure and industrial park capacity.

The project also supports the commitment under Chapter Four, "Balanced Regional Development", to establish Chattogram as the country's commercial capital and develop the region into a major centre of employment and economic activity.