Egypt is seeking to attract major global automakers to localise the production of electric vehicles and components as part of a national strategy to meet domestic demand and expand exports, Prime Minister Mostafa Madbouly said on Tuesday.
The Prime Minister stated that the government is prioritising the National Automotive Manufacturing Programme to transition toward clean energy and reduce reliance on traditional fuels. During a meeting with the ministers of industry, finance, and investment, Madbouly emphasised that the state aims to build a major industrial base capable of enhancing regional and international competitiveness.
Total investment costs for projects in Egypt’s free zones reached $38.5bn by October 2025, according to Minister of Investment and Foreign Trade Hassan El-Khatib. The number of projects within these zones reached 1,237, with an aggregate capital of $14.3bn. El-Khatib noted that these developments provide approximately 245,000 direct jobs.
In 2024, commodity exports from the free zones were valued at $11bn, while service exports reached $7bnand petroleum exports totalled $6.5bn. Out of the total projects, 1,019 are located within nine public free zones, spanning industrial, storage, and service sectors.
Cabinet Spokesperson Mohamed El-Homsani said the meeting reviewed several proposals from major companies looking to invest in the automotive sector. The government is currently evaluating incentives and facilities to support the shift toward sustainable transport and deeper local manufacturing.
Targeted activities for the free zones that align with state strategy include information technology, software development, pharmaceuticals, and automotive components. El-Khatib added that the government is also focusing on food industries, textiles, logistics, and power generation solutions to further bolster the investment climate.
The meeting was attended by Kamel El-Wazir, Deputy Prime Minister for Industrial Development and Minister of Industry and Transport; Ahmed Kouchouk, Minister of Finance; and several other government officials.
