Saturday, January 24, 2026

EDR–CCECC pact powers Ethiopia’s push into mega infrastructure

By our staff reporter,Photo by Anteneh Aklilu

Ethiopia’s Ethio-Djibouti Railway Share Company (EDR) is embarking on a transformative new chapter, using a landmark technical partnership with Chinese industrial titan CCECC to evolve from a railway operator into a comprehensive infrastructure powerhouse. The company’s ambitious portfolio now targets mega‑projects, including the critical rail and highway network planned for the forthcoming Bishoftu International Airport.

Originally established to administer the vital cross‑border rail link, EDR is strategically evolving into a holding company to more nimbly manage its rapidly diversifying ventures. This pivot expands its mandate well beyond multimodal logistics and operations, pushing it into large‑scale civil engineering that encompasses port development and major railway construction.

A tangible first step in this expansion is the three‑kilometre spur line now under construction, which will seamlessly integrate the AMG Industrial Park with the main Ethio‑Djibouti line at Gelan. At the October launch ceremony, CEO Takele Uma articulated EDR’s sharpened strategic vision, crystallized around three pillars: core railway operations, global logistics and a dedicated engineering division.

“This transition is a logical and strategic evolution,” Takele said. “Our transformation into a holding structure is essential to steward our growing portfolio. Our engineering division will be a cornerstone, focusing on highways, railways and ports—including dry ports—the essential arteries of a modern logistics ecosystem.” Complementing its railway backbone, EDR has launched EDR Global Logistics, a division spearheading integrated, multimodal cargo solutions.

The collaboration with CCECC was formally cemented with a technical consultation agreement signed on December 9. With a 15‑year legacy in Ethiopia and more than 100 projects—including half of the original Addis‑Djibouti railway—CCECC brings substantial expertise to the partnership. At the signing at EDR’s headquarters, CCECC’s head, Li Qingyong, pledged a five‑year commitment to “propel the high‑quality operation” of the Addis‑Djibouti corridor, aiming for a “resounding success” in the inaugural year.

He emphasized refining procedures and standards to “elevate the calibre and efficiency” of their joint technical services. The collaboration will extend beyond maintenance, actively exploring synergistic ventures along the railway’s economic corridor, such as oil transportation, dedicated lines, cold‑chain logistics and short‑haul distribution networks. “We are jointly scouting further opportunities in dry ports, airport cities and highway projects,” Qingyong added.

Takele highlighted the national imperative to develop indigenous capacity for cross‑country infrastructure. “With government endorsement, EDR is now at the forefront of constructing mega logistics infrastructure, particularly projects enhancing maritime connectivity,” he said. “CCECC’s experience is invaluable as we build our own competencies. They will provide technical mentorship and supervision, and we will also pursue joint‑venture partnerships on select projects.”

Informed sources say EDR is the designated contender for a monumental two‑line railway and adjacent expressway integral to the 12‑billion‑dollar Bishoftu Airport City project southeast of Addis Ababa, with the rail component alone involving 47 km of dual track. The airport link is expected to follow an Engineering, Procurement, Construction and Financing (EPCF) model, attracting global contractors, and analysts suggest the CCECC pact strategically positions the Chinese firm to play a key role in securing the necessary financing.

“Our vision is pan‑African. While CCECC is a pivotal partner here, we are open to alliances with other global firms—Turkish companies, for instance, have expressed strong interest,” Takele noted, outlining an expansion blueprint targeting projects in Djibouti, Kenya and Tanzania. To that end, EDR has already significantly bolstered its arsenal with state‑of‑the‑art heavy machinery.

The Ethiopian government’s vision includes pioneering cross‑border lines to South Sudan and Kenya, with EDR championing the development of local execution capacity. “Our current three‑kilometre link is a proof of concept and a capacity benchmark, designed for completion in six months—half the time conventional estimates suggested,” Takele said.

Project Manager Nigist Hailu reported strong progress, with 35 percent of the AMG link completed within two months. “We have mobilized critical components such as sleepers and anchor bolts to commence superstructure work. Orders for rails and turnouts have been placed for imminent delivery,” she said, stressing the extensive use of locally sourced materials.

EDR is also constructing dedicated freight yards within the AMG complex to enable direct import‑export operations, while the project team operates on an intensified schedule with extended hours to ensure early delivery.

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