Egypt Signs MoU to Localize Electric Cars Industry

Electric cars being charged on a street (AFP)
Electric cars being charged on a street (AFP)
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Egypt Signs MoU to Localize Electric Cars Industry

Electric cars being charged on a street (AFP)
Electric cars being charged on a street (AFP)

Egypt’s Nasr Automotive Manufacturing Company, of the Ministry of Public Enterprise, signed two agreements with China's Dongfeng Motor Corporation to reconstruct its factory to produce the first electric car in Egypt.

Egypt’s Public Enterprise Minister Hisham Tawfik and the Chinese Ambassador to Cairo Liao Liqiang attended the online ceremony, which also included top officials from Nasr and Dongfeng.

Speaking at the ceremony, Tawfiq stressed that the agreements mark the launch of Nasr towards the project of localizing the electric car industry in Egypt.

Earlier, President Abdel Fattah el-Sisi issued directives to relevant authorities on localizing and using national capabilities to manufacture electric vehicles.

Tawfik explained that the project aims to preserve the environment by reducing dependence on fossil fuels and thermal emissions that have negative impacts on people and the economy.

He explained that the agreements included a framework agreement for the production of the electric car in Nasr factories in cooperation with Dongfeng.

Dongfeng is one of the four largest car manufacturers in China that produces about 3.5 million cars annually with its main partners in the auto industry worldwide, he mentioned.

The two companies also signed an agreement to renew the Nasr factory with the latest technologies and production methods.

The project comes within the framework of the automobile manufacturing strategy adopted by the political leadership, which takes into account all the associated factors, according to the Minister.

Tawfik indicated that all relevant authorities and ministries are cooperating to ensure the success of this strategic project.

They will deploy fast chargers in the streets and parking lots all over the country and prepare electricity networks to accommodate the expected increase in consumption.

The authorities will also launch the necessary support policies which help encourage consumers to shift to new methods of transportation.

He pointed out that the ministry relied on technical and commercial studies which led to choosing China’s Dongfeng, as well as the “E70” model.

E70 electric vehicles will be used to reduce emissions and ensure successful sustainability while keeping pace with the increasing global trend of electric transport.

In light of the President’s directives, Nasr Company will start its production of electric cars at a localization rate of 50 percent. At a later stage, the plan will include a research and development center, with the participation of national cadres and specialized Egyptian companies.

An agreement is currently underway to establish a research and development center with Dongfeng and Egyptآ's Brightskies Technologies company.

The Minister also reported that the project aims to produce 25,000 cars annually in one shift, and according to market studies, the volume of demand is expected to increase with the anticipated governmental support and incentives to double this amount.



Riyadh Hosts Saudi-Egyptian Industrial Forum

Officials are seen at the forum on Monday. (SPA)
Officials are seen at the forum on Monday. (SPA)
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Riyadh Hosts Saudi-Egyptian Industrial Forum

Officials are seen at the forum on Monday. (SPA)
Officials are seen at the forum on Monday. (SPA)

The Saudi-Egyptian Industrial Forum kicked off in Riyadh on Monday under the patronage of Minister of Industry and Mineral Resources Bandar Alkhorayef. The forum aims to bolster strategic industrial cooperation and integration between the two countries.

Organized by the Federation of Saudi Chambers of Commerce in collaboration with the Federation of Egyptian Industries, the forum witnessed the participation of Deputy Minister for Industrial Affairs Eng. Khalil bin Salamah, Saudi Export Development Authority CEO Abdulrahman Althukair, and 300 prominent Saudi and Egyptian industry leaders and investors.

Bin Salamah underscored the significance of strengthening economic cooperation and industrial integration between Saudi Arabia and Egypt. He advocated for enhanced industrial partnerships within five priority sectors identified in the Kingdom's National Industrial Strategy: pharmaceuticals, automotive, building materials, textiles, and food industries.

He highlighted the evolving strategic integration between the two countries across initiatives like "Saudi Made,Future Factories," and "Made in Egypt," as well as in the broader goods and services sector. Bin Salamah urged Egyptian industrialists to capitalize on the industrial investment opportunities available in the Kingdom, citing its ambitious plans to establish 24,000 new factories over the next decade.

Federation of Saudi Chambers of Commerce Chairman Hassan Alhwaizy hailed the forum as a crucial milestone in Saudi-Egyptian industrial collaboration, emphasizing the strategic partnership underpinning their economic relations, particularly in the industrial sector.

Federation of Egyptian Industries Chairman Mohamed El-Sewedy stated that current global challenges are accelerating the need for industrial integration between the two countries, strengthening their partnership to tap into the African market's potential.

Saudi-Egyptian Business Council Chairman Bandar Al-Ameri highlighted the substantial growth in trade exchange between Saudi Arabia and Egypt in recent years, fueled by developing economic partnerships between their respective business communities. He emphasized that signing the agreement to protect and encourage mutual investments represents a strategic achievement serving their shared interests.