This study investigated China-Africa Economic and Trade ties taking Tanzania as the case study and the prime objective was to identify the main drivers for the bilateral trade and the benefits of the ties. The study draws theoretical framework from Realism, Dependency and Marxist theories of Imperialism. The dependency theory explains underdevelopment while the Marxist explains dominant state expansion. This study mainly employs descriptive research approach to asses China-Tanzania economic and trade ties. Data is drawn from industrial annual reports, previous research, journals, magazines, documentation and websites. Other sources are Tanzania Investment Centre (TIC) and Business Registration and Licensing Agency of Tanzania (BRELA). The scope of the study is limited to 1990-2010. The findings of the study show that engagement of China in Tanzania poses both opportunities and challenges. The nature of China`s investment in Tanzania has been capital intensive and been mostly directed to strategic industries, particularly manufacturing sector the leading sector in which Chinese investors have injected more projects, followed by construction, agricultural, tourism and services sectors among others. Similarly, the study finds that the imported commodities and goods from China have been affordable to most of lowincome earners hence increases consumers choice and contribution to Tanzania Economic growth. However, the negative effects cannot be neglected; the investments have led into the influx of low quality products that do not meet market standards. Therefore, this study recommends that the government should ensure that the partnership with China is for a win-win situation.