New Chinese Tire Factory in Egypt to Produce 1.5 Million Tires Annually and Create 1,600 Jobs

Egypt's automotive industry received a major boost with the announcement of a new Chinese tire manufacturing facility, backed by a $550 million investment, set to enhance local production and create thousands of jobs.

Investment Details

Engineer Khaled Hashem, Minister of Industry, discussed with officials from the China National Tire and Rubber Corporation a major expansion plan in the Egyptian market. The plan includes establishing a new factory in Alexandria Governorate and upgrading existing production lines, supporting the state's strategy to deepen local manufacturing and boost industrial exports.

High-Level Meeting

The Minister held an extensive meeting with a delegation led by Wang Jianjun, Chairman of China National Tire and Rubber Corporation, along with Omar Mahanna, Chairman of Prometeon Tyres Egypt, Engineer Mohamed Zada, Assistant Minister for Strategic Industries, Engineer Mohamed Sami, Assistant Minister for Strategic Affairs, and several ministry leaders. The meeting discussed the company's expansion plan and requirements for implementing the new project.

Production Capacity and Timeline

During the meeting, the company presented its plan to build a new factory for heavy transport tires, engineering equipment tires, and agricultural tractor tires in the Amreya district of Alexandria Governorate, on a plot adjacent to the existing plant, through Prometeon Tyres Egypt. The new project will add a production capacity of up to 1.5 million tires annually, with operations and production scheduled to begin in early 2028. It will create approximately 1,600 new direct jobs, alongside transferring modern technology, enhancing local manufacturing capabilities, and increasing Egyptian tire exports to foreign markets.

Government Support

Minister Hashem affirmed that the Ministry of Industry fully supports the company's expansion plans in Egypt, noting that the ministry will work to overcome any challenges facing the project, facilitate industrial licensing procedures, and coordinate with relevant authorities to ensure swift implementation.

Focus on Auto Components

The Minister emphasized the importance of expanding passenger car tire manufacturing in the coming period, as a key feeder industry for the automotive sector. This industry is a high priority within the national program for automotive industry development, helping to reduce the import bill, deepen local manufacturing, and increase the percentage of Egyptian components in locally produced vehicles.

The Minister also noted that the government is currently working to activate the law favoring local products in government procurement, which will increase demand for national products, enhance their competitiveness, and support local industry.