Arab Finance: Minister of Investment and Foreign Trade Mohamed Farid Saleh discussed with China-based intelligent manufacturing company Jiangsu Changhong the establishment of a factory in Egypt to manufacture automotive equipment and production lines, with an initial investment of around $20 million, as per a statement.
The proposed project would localize automotive equipment production and manufacturing lines in Egypt, while supporting supply chains, increasing local content, boosting exports, and advancing the country's strategy to deepen local manufacturing and attract value-added foreign direct investment. The company also plans to expand the project in later phases.
During a meeting with Jiangsu Changhong executives, Farid said the automotive industry and its supporting industries remain among the Egyptian government's priority sectors for strengthening the competitiveness of the national economy.
He added that the Ministry of Investment is coordinating with the relevant authorities to provide the land, infrastructure, and other facilities needed to accelerate the project's implementation, including exploring cooperation mechanisms with the Sovereign Fund of Egypt (TSFE).
Farid said localizing the production of automotive equipment and manufacturing lines would strengthen Egypt's readiness to attract global automotive investments by supporting technology transfer, developing supporting industries, improving supply chain efficiency, increasing exports, and creating new job opportunities.
He also highlighted Egypt's strategic location, developed infrastructure, network of free trade agreements, and investment incentives as key advantages for attracting high-quality industrial investments and expanding access to regional and international markets.
For her part, Qiu Yunjie, Chairperson of Jiangsu Changhong, said the company sees Egypt as a strategic market for the regional automotive industry due to its geographic location, trade agreements, and manufacturing and export opportunities.
She said the planned factory aims to transfer and localize technology, support local manufacturers, improve supply chain efficiency, and train Egyptian talent, contributing to the competitiveness of Egyptian industry while supporting the country's export growth and investment objectives.
Founded in 1989, China-based Jiangsu Changhong Intelligent Equipment Co., Ltd. specializes in the design and construction of intelligent factories and the design, manufacturing, installation, and maintenance of welding, painting, and assembly production lines for the automotive, railway, and aviation industries, in addition to after-sales services.
Headquartered in Yancheng, Jiangsu Province, the company operates on a 330-feddan site with production workshops spanning nearly 120,000 square meters and employs more than 800 people. It has branches and subsidiaries across China, including Beijing, Shanghai, Wuhan, and Changzhou, as well as operations in Italy, Japan, India, and other countries.
In 2019, the company established Fidia Automotive Engineering Systems Co., Ltd. in Milan to expand into the European market. It supplies production line solutions to global automakers, including Volkswagen, BMW, Ferrari, Lamborghini, and Stellantis.
