US-China rivalry takes flight over scramble for contracts at Ethiopia’s Bishoftu airport

Ethiopia's ambitious $12.5 billion mega-airport project has become a focal point of the US-China geopolitical rivalry. Ethiopian Airlines, Africa's largest carrier, is spearheading the construction of the Bishoftu International Airport, a 40km southeast of the capital Addis Ababa. This hub aims to boost African trade and travel, with the project drawing significant interest from global contractors.

However, Chinese state-owned enterprises and joint ventures account for roughly half of the shortlisted bidders, highlighting Beijing's strong presence in Ethiopia's infrastructure sector. While major American construction firms did not make the initial civil works shortlist, the White House is now positioning US companies like Boeing and GE to compete for future technology and equipment contracts.

Mark Mitchell, deputy assistant secretary of commerce for the Middle East and Africa, confirmed that Washington was actively working to secure strong US participation in the project. Ethiopian Airlines will contribute 20-30% of the project's funding through its balance sheet and operational revenues, with the remainder expected to come from international lenders.

The African Development Bank has committed $500 million and is leading further fundraising efforts. An Ethiopian delegation recently met with the Bank of China to advance financing discussions for the airport. Both the US and China are seeking long-term technology vendor relationships, and the project's final financing is expected to be secured by March next year.

The Ethiopian government has already broken ground on the project, with US$610 million worth of earthworks planned to be completed by the end of the year. Ethiopian Airlines anticipates that the airport will alleviate capacity constraints at Addis Ababa Bole International Airport, with Phase One accommodating up to 60 million passengers annually by 2030 and the fully completed hub potentially handling up to 110 million passengers and nearly 4 million tonnes of cargo annually per year.