Ghabbour: Battery Factory Puts Egypt on Track to Become Regional EV Hub

Eng. Amin Karim Ghabbour, project manager of the BME battery factory, confirmed that the partnership with China's Contemporary Amperex Technology Limited (CATL) is a cornerstone in building advanced Egyptian industrial capabilities. The first phase targets 1 GWh annual output. Initial investments exceed EGP 2 billion.

Contract Signing and Key Attendees

Ghabbour's remarks came during the contract signing ceremony for the factory, attended by Prime Minister Dr. Mostafa Madbouly. The agreement was signed by Maged Wahib, chairman of BME, and Luo Haining, international investment director at China's CATL. Industry Minister Eng. Khaled Hashem and BME board member Eng. Lotfy Tadros were present. The deal signals growing global confidence in Egypt's industrial market.

Partnership Goals and Technology Transfer

The partnership combines world-class battery technology expertise with Egyptian industrial and engineering capabilities. Ghabbour stated the collaboration supports knowledge transfer, local supply chain development. The creation of a scalable, competitive industrial base. He added that the signing follows Egyptian state directives to MCV, led by Eng. Karim Ghabbour, to deepen local manufacturing and localize modern industries and technology, strengthening Egypt's capacity in automotive components, particularly electric vehicles and battery systems. This aligns with national goals to increase local content.

Production Capacity and Phase Two Plans

The first phase targets 1 GWh annual output with initial investments exceeding EGP 2 billion. In phase two, capacity rises to 5 GWh annually, covering passenger car batteries, solar energy storage, and wind power storage. The company aims for 40% local content. Ghabbour explained that BME doesn't only target battery systems for heavy commercial vehicles but seeks to lay the foundation for an integrated battery systems industry extending to passenger car batteries and energy storage solutions, opening new investment, manufacturing, and export opportunities. This move strengthens the position of Hyundai and other brands preparing to launch electric models in Egypt.

Impact of Local Battery Production on the EV Market

Localizing battery manufacturing is a pivotal step for electric vehicle growth in Egypt. It allows local supply of battery systems to vehicle manufacturers, reduces import dependence and logistics costs. Supports local supplier development and technology transfer. The result? Boosting Egypt's chances of becoming a regional hub for EV and component manufacturing. The project comes as regional nations race to attract battery industry investments, giving Egypt an early competitive edge. The used car pricing sector is expected to benefit long-term from locally available battery parts.