Kamel Al-Wazir, the Deputy Prime Minister for Industrial Development and Minister of Industry and Transport, presided over the signing of a partnership agreement between BAIC Company of China and Alkan Auto Company, a member of the Egyptian International Automotive Group. The objective of this agreement is to construct a factory in Egypt dedicated to the production of electric vehicles.
Scheduled to commence operations by the end of 2025, the factory will occupy a land area of 120,000 square meters. It aims to cater to the local market demands and facilitate exports to the Middle Eastern and African markets.
The initial production target for the first year is set at 20,000 vehicles, with expectations to achieve a production volume of 50,000 by the fifth year.
The local content of the project currently stands at 48% and has a target to increase to 58%. Additionally, the project promises to generate approximately 1,200 new employment opportunities.
The minister underscored that this agreement aligns with President Abdel Fattah El-Sisi’s ambition to establish Egypt as a prominent regional industrial hub and promote localization within the automotive industry.
He expressed his appreciation for the collaboration between the two companies and assured the ministry’s commitment to facilitating the swift commencement of production. The General Authority for Industrial Development will provide the required land and expedite the licensing process.
Furthermore, the Minister of Industry emphasized the dedication of his ministry to fostering local manufacturing, attracting global investments in the automotive sector, and supporting companies’ expansion in Egypt. This, in turn, will enhance exports, particularly to the Middle East and Africa, and contribute to the creation of new job opportunities.
