By Elias Al Helou
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Egypt’s SCZONE attracts 128 projects worth over $3 billion, Chinese firms contribute 40 percent

SCZONE inked 14 agreements with major Chinese companies to boost investment
Egypt’s SCZONE attracts 128 projects worth over $3 billion, Chinese firms contribute 40 percent
Chinese firms committed $800 million for fiberglass factory, power projects in SCZONE

Waleid Gamal El-Dein, chairman of the General Authority for Suez Canal Economic Zone (SCZONE), revealed that from July 2023 to March 2024, the SCZONE has attracted 128 projects with investments exceeding $3 billion. Approximately 40 percent of these investments originate from Chinese sources.

According to a statement, the SCZONE has entered into 14 agreements with major Chinese companies to initiate various projects in Egypt in collaboration with the private sector.

These agreements were signed during the China-Egypt Zhejiang Forum, which took place lately in Egypt. The forum primarily aims to enhance cooperation with prominent Chinese companies, particularly those based in Zhejiang province.

One of the agreements entails the SCZONE partnering with Xin Feng Ming Holding, a Chinese synthetic fiber manufacturer, to establish a fiberglass and polyester production factory. This factory, located in the China-Egypt TEDA Suez Economic and Trade Cooperation Zone in Ain Sokhna, will require investments of up to $800 million. Spanning an area of 600,000 square meters, the factory is projected to have an initial production capacity of 300,000 tons annually, starting in 2026.

Read more: Egypt’s GDP expected to reach 4 percent in FY 2024/2025: Ministry of Finance report

Additionally, TEDA-Egypt, an industrial developer, has signed a strategic cooperation agreement with Zhejiang Energy International Company, a Chinese electric utility firm, to establish a power generation center. The center will further encompass a 400-megawatt (MW)/220 kilovolt (KV) substation, a 200-MW gas-powered station, and a 100-MW photovoltaic power station.

Moreover, Jushi Egypt for Fiberglass Industry has secured a financing agreement with China Export and Credit Insurance Corporation, a Zhejiang-based company, to expand Jushi’s annual production capacity in the Sokhna Integrated Industrial Zone to 320,000 tons.

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