Head of Automotive Unit at Ministry of Industry Reveals Supplier Industry Clusters and Production Export Timeline

Engineer Alaa Salah El-Din, Head of the Automotive Unit at the Ministry of Industry, announced the start of implementing clusters and mergers among a number of factories operating in the automotive feeder industries. The goal is to raise production efficiency and increase competitiveness, ahead of the announcement of a new incentives package the ministry plans to launch to support feeder industries and auto parts manufacturers.

Details of the New Clusters in Feeder Industries

Speaking during his interview on the "Arabity" program on Radio Egypt, he stated that the ministry held intensive dialogues with owners of feeder industry companies and factories. He confirmed that clusters and mergers are taking place among some companies and factories to enhance their production capabilities. He added that manufacturing operations under the new clusters will begin within two months, ensuring feeder industry factories are ready to supply components to car assembly plants in the Egyptian market.

Goals for Export Expansion and Deepening Local Manufacturing

The Head of the Automotive Unit emphasized that these clusters aim to expand exports, supporting the deepening of local manufacturing and increasing this sector's contribution to the automotive industry. He pointed out that the ministry seeks through this step to improve the competitiveness of local products and attract new investments in the automotive components sector, positively impacting the entire supply chain.

These moves come within the framework of the government's strategy to strengthen the feeder industries sector, which is a key pillar for developing Egypt's automotive industry, especially with the upcoming launch of new incentives aimed at stimulating local manufacturers and increasing the percentage of local content in locally assembled vehicles.