China’s Zhende Medical announces expansion to Tatu City, Kenya
China’s Zhende Medical to set up largest medical facility in East Africa at Tatu City, Kenya
Plants will employ 7,000 Kenyans and export USD 320 million annually
Beijing, 17 October 2023 – Tatu City, the 5,000-acre Special Economic Zone on Nairobi’s doorstep, has announced that Zhende Medical Co. Ltd., a leading international company specializing in the production and sale of disposable medical devices, will build production facilities at Tatu City and its neighboring Oaklands development.
Shanghai Stock Exchange-listed Zhende said it plans to invest USD 180 million in Kenya, employ 7,000 Kenyans and export USD 320 million annually to its global clients, as well as expand its distribution of critical medical supplies in Sub-Saharan Africa. Zhende’s Kenyan subsidiary, FullCare Medical, will become the largest medical device manufacturer and distributor in East Africa.
The landmark Africa healthcare deal was announced on the sidelines of the Third Belt and Road Forum for International Cooperation in Beijing at a ceremony presided over by H.E. President William S. Ruto of Kenya and H.E. Ambassador Liu Yuxi, Special Representative of the Chinese Government on African Affairs. The International Finance Corporation, the investment arm of the World Bank, has provided USD 100 million in financing to Zhende for its Africa expansion.
“After extensive evaluation of markets and site locations, we have selected Kenya and Tatu City as the base for our global expansion,” said Lu Jianguo, Chairman of Zhende Medical. “We are committed to promoting the development of Kenya’s healthcare industry, cultivating local talent and increasing cooperation between Kenya and multinational companies.”
“I would like to appreciate Zhende Medical for its decision to set up in Kenya and Tatu City,” said President Ruto. “I am highly encouraged by the evidence demonstrated here that the Chinese business community is fully attuned to Kenya’s immense potential as the dynamic and most highly promising destination for investment.”
The locations at Tatu City and Oaklands total more than 60 acres of prime land with world-class infrastructure, seamless transport access and economic incentives. Tatu Industrial Park, where Zhende’s first facility will be commissioned in January 2024, is the largest light manufacturing and logistics zone in East Africa, with more than 75 Kenyan, regional and multi-national companies. It is also Kenya’s first operational Special Economic Zone, offering low corporate taxes, import duty exemptions, zero-rated VAT and zero withholding tax.
“Zhende Medical represents one of the most important foreign direct investments not only in Kenya’s history but in all of Africa,” said Stephen Jennings, Founder and CEO of Rendeavour, the owner and developer of Tatu City and six other new cities in Nigeria, Ghana, Zambia and the Democratic Republic of the Congo. “Zhende Medical is setting the benchmark for dynamic and entrepreneurial Chinese investment on the African continent.”