Siemens opens electrification, automation factory in Egypt to boost local manufacturing

Daily News Egypt
5 Min Read

Siemens has inaugurated a new Electrification and Automation factory in Egypt, marking a strategic investment to localize the production of critical energy technologies, strengthen the country’s industrial base, and support its growing renewable energy and infrastructure sectors.

The inauguration ceremony was attended by Minister of Electricity and Renewable Energy Mahmoud Esmat, Minister of Industry Khaled Hashem, and senior executives from Siemens AG.

The new facility will manufacture a range of advanced energy technologies, including switchgear, substation control and monitoring systems, protection systems, and embedded cybersecurity solutions. The factory is designed to support Egypt’s accelerating energy transition while reinforcing local supply chains and expanding domestic industrial capabilities.

“Localizing the production of critical energy technologies is key to building resilient infrastructure and competitive industries,” said Stephan May, CEO of Electrification and Automation at Siemens.

“With our new facility, we bring production closer to our customers, strengthening supply chains, accelerating delivery, and supporting Egypt’s industrial growth and energy transition. This facility enables Egypt to adopt advanced technologies more rapidly and achieve its ambitious goals, particularly in integrating renewable energy and ensuring the highest cybersecurity standards for its power infrastructure,” he added.

 

Supporting Egypt’s renewable energy transition

Egypt has raised its target for renewable energy to account for 45% of its electricity mix by 2028, and Siemens said the factory’s product portfolio has been developed to help achieve that objective by supporting both electricity transmission and distribution networks as well as the country’s expanding renewable energy sector.

The facility integrates cybersecurity directly into substation control systems, ensuring compliance with international standards for protecting critical energy infrastructure.

The investment also supports Egypt’s National Industry Strategy 2024–2030, which identifies electrical and engineering industries as priority sectors for localization and increasing industry’s contribution to GDP.

It follows a memorandum of understanding signed between Siemens and the Industrial Development Authority in September 2024 to advance local manufacturing of electrical products in Egypt.

By manufacturing locally, Siemens said it will strengthen domestic supply chains while supporting Egyptian engineering, procurement, and construction companies involved in energy and infrastructure projects across Egypt, North Africa, and the wider African continent.

“Today reflects Siemens’ belief in Egypt’s future—a future powered by innovation, sustainability, and collaboration,” said Mostafa El-Bagoury, CEO of Siemens Egypt.

“The new facility represents Siemens’ latest step in a journey that combines global expertise with local empowerment, delivering cutting-edge technologies made in Egypt, for Egypt, and beyond.”

 

Siemens Power Academy to develop local talent

The facility also houses the Siemens Power Academy, a dedicated training initiative aimed at developing technical expertise and preparing engineers and energy professionals to design, operate, and maintain advanced power infrastructure.

The academy includes purpose-built training rooms and educational facilities located adjacent to the factory floor, allowing participants to gain practical experience alongside live production and technology demonstrations. During its first year, it aims to train professionals in the skills required for modern energy systems, building on Siemens’ longstanding investment in vocational education in Egypt.

The site also features a Customer Experience Center, where customers, partners, and stakeholders can explore Siemens’ latest digital twin and Internet of Things (IoT)-based solutions for energy management, grid optimization, and digital infrastructure.

 

Expanding a 125-year partnership with Egypt

Siemens has operated in Egypt for 125 years and continues to play a key role in the country’s energy, industrial, and infrastructure sectors. Its projects include Egypt’s high-speed rail network, electricity grid modernization programmes, and the establishment of the Middle East’s first Industry 4.0 Innovation Center in Egypt’s New Administrative Capital.

The company said the new Electrification and Automation factory marks a new phase in its partnership with Egypt, shifting from supplying advanced technologies to manufacturing them locally, while creating skilled jobs, building domestic expertise, and supporting Egypt’s ambition to become a regional hub for advanced industrial production.

 

 

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