Egypt, China ink $1.65B deal for steel factories in Suez: What we know
The deal was signed by Egypt’s General Authority of the Suez Canal Economic Zone and the Industrial Development Authority with Xin Feng Egypt Steel and its parent company, Xin Feng China as Cairo-Beijing ties grow closer.
The Egyptian government signed a $1.65 billion agreement with a Chinese company on Tuesday to develop multiple metal factories in the Suez Canal zone, further cementing China’s already strong economic footprint in the region.
The deal was signed by Egypt’s General Authority of the Suez Canal Economic Zone and the Industrial Development Authority with Xin Feng Egypt Steel and its parent company, Xin Feng China. According to Chinese and Egyptian state media outlets Xinhua and Al-Ahram, the agreement covers the establishment of nine industrial projects in the Sokhna Integrated Zone, part of the Suez Canal Economic Zone. Total investment in the projects will amount to $1.65 billion.
The planned factories will produce a range of items, including automotive components, metallic parts for home appliances, screws and nuts, hot-rolled coil steel, cold-rolled steel, machinery spare parts, brake discs, steel structures and other automotive parts. A research and development center and a solid waste recycling complex are also part of the plans, according to the reports.
Production is expected to begin in early 2027.
