Egypt to strengthen local automotive manufacturing in new agreement with Global Auto



Thu, 16 Nov 2023 - 02:51 GMT


Thu, 16 Nov 2023 - 02:51 GMT

CAIRO – 16 November 2023: The General Authority for Investment and Free Zones (GAFI), The Environmentally Friendly Automotive Industry Fund, and Automotive Industry Unit have entered into an agreement with Global Auto Group to produce cars locally. The signing ceremony took place in the presence of Prime Minister Mostafa Madbouly.

Madbouly emphasized that the agreement signifies Egypt's commitment to developing the automobile industry, particularly in the area of environmentally friendly cars. These cars are automatic vehicles that have zero emissions and do not harm the environment.

He highlighted that this collaboration aligns with the Egyptian program called the Automotive Industry Development Program (AIDP), which aims to establish Egypt as a key entry point for emerging vehicle markets in Africa and promote the localization of the automotive industry.

As part of the agreement, Global Auto is obligated to adhere to the rules and requirements of the AIDP program.

The Egyptian market holds significant potential, especially following the implementation of measures and incentive packages by the Supreme Council for Investment, as stated by the Chairman of the Board of Directors of Global Auto. These actions have been recognized for their role in empowering the private sector and driving the economic development of Egypt.

In line with Egypt's strategy to boost the automobile industry, earlier in November, the Suez Canal Economic Zone (SCZONE), the Sovereign Fund of Egypt (TSFE), and the East Port Said Development Company (EPSD) signed an agreement with Germany's Volkswagen. The agreement involves conducting feasibility studies for the establishment of the East Port Said Automotive Zone (EPAZ).

Moreover, EPAZ is expected to attract investments worth nearly $240 million and create more than 6,000 direct and indirect job opportunities.



Leave a Comment

Be Social