Abstract The Quaternary Tarosero volcano is situated in the East African Rift of northern Tanzania and mainly consists of trachyte lavas and some trachytic tuffs. In addition, there are minor occurrences of extrusive basalts, andesites and latites, as well as peralkaline trachytes, olivine trachytes and phonolites. Some of the peralkaline phonolites contain interstitial eudialyte, making Tarosero one of the few known occurrences for extrusive agpaitic rocks. This study investigates the genetic relationships between the various rock types and focuses on the peculiar formation conditions of the extrusive agpaitic rocks using a combination of whole-rock geochemistry, mineral chemistry, petrography, thermodynamic calculations, and major and trace element modelling. The Tarosero rocks formed at redox conditions around or below the fayalite–magnetite–quartz buffer (FMQ). During multi-level magmatic fractionation at depths between ∼40 km and the shallow crust, temperature decreased from >1100 °C at near-liquidus conditions in the basalts to ∼700 °C in the peralkaline residue. Fractional crystallization models and trace element characteristics do not indicate a simple genetic relationship between the trachytes and the other rock types at Tarosero. However, the genetic relationships between the primitive basalts and the intermediate latites can be explained by high-pressure fractional crystallization of olivine + clinopyroxene + magnetite + plagioclase + apatite. Further fractionation of these mineral phases in addition to amphibole and minor ilmenite led to the evolution towards the peralkaline trachytes and phonolites. The eudialyte-bearing varieties of the peralkaline phonolites required additional low-pressure fractionation of alkali feldspar and minor magnetite, amphibole and apatite. In contrast to the peralkaline trachytes and phonolites, the peralkaline olivine trachytes contain olivine instead of amphibole, thus indicating a magma evolution at even lower pressure conditions. They can be modelled as a derivation from the latites by fractional crystallization of plagioclase, clinopyroxene, magnetite and olivine. In general, agpaitic magmas evolve under closed-system conditions, which impede the escape of volatile phases. In the case of the extrusive agpaitic rocks at Tarosero, the early exsolution of fluids and halogens was prevented by a low water activity. This resulted in high concentrations of rare earth elements (REE) and other high field strength elements (HFSE) and the formation of eudialyte in the most evolved peralkaline phonolites. Within the peralkaline rock suite, the peralkaline olivine trachytes contain the lowest HFSE and REE concentrations, consistent with mineralogical evidence for formation at a relatively high water activity. The lack of amphibole fractionation, which can act as a water buffer of the melt, as well as the evolution at relatively low-pressure conditions caused the early exsolution of fluids and loss of water-soluble elements. This prevented a strong enrichment of HFSE and REE before the magma was finally extruded.