Wednesday 13/Aug/2025 – 09:35 AM
Dr. Mustafa Madbouly, Prime Minister, witnessed this morning at the government’s headquarters in the new administrative capital, the signing ceremony of the contract for the construction of the Chinese Sailun Group factory, to manufacture automatic tires of all kinds; This is in the presence of the team, the engineer of Kamel, the Minister, the Deputy Prime Minister for Industrial Development, the Minister of Industry and Transport, and Walid Jamal Al -Din, Chairman of the General Authority for the Economic Zone of the Suez Canal.
The Prime Minister is witnessing the signing of the contract for the establishment of the Chinese Silon Tires Group Factory in Suez Economy
Madbouly: The Egyptian state is moving forward towards implementing its ambitious strategy to localize the auto industry and manufacturing chains related to it
The contract was signed by: Tsu Khoy, Executive Director of Teda Egypt Group, and Shi Shahong, President of the Silon Tire Group.
This project represents a global level in three stages; Where the domain of the industrial developer, Teda Egypt, is held within the integrated Sokhna area of the General Authority of the Economic Zone of the Suez Canal, on an area of 350 thousand square meters, with total investments estimated at about one billion dollars equivalent to about 50 billion pounds, and it is implemented within three years, while the total production capacity for the first stage of the factory to be established is 3 million frameworks for passenger cars, and 600 thousand tunnels for trucks Buses, and it is planned to complete the implementation of the first phase in 2026, and it is also estimated that the total production capacity of the project in its two phases will exceed 10 million frameworks annually, and the project aims to cover the needs of the local market, as well as export abroad.
Dr. Mustafa Madbouly emphasized that the Egyptian state is moving forward towards implementing its ambitious strategy to localize the auto industry and the manufacturing chains related to it, appreciating the promotional efforts of the economic zone of the Suez Canal, and its success in attracting investments in this sector, which is one of the main sectors that the state is keen to deepen local industrialization.
The Prime Minister pointed out that efforts and cooperation between the public and private sectors should be continued to achieve Egyptian leadership regionally in the automotive industry in record time, pointing to the role of the state and national projects in the field of roads and tunnels and the development of ports, in enhancing the readiness of the economic zone of the Suez Canal to attract foreign direct investment, and linking the areas of manufacturing, production and logistical services to the targeted global markets, especially in light of what the region enjoys from Distinguished investment incentives, and the policies they adopt contribute to creating an attractive climate for global investment.
For his part, Walid Jamal Al -Din explained that the tire manufacturing project – which was signed today – represents one of the pillars of the targeted auto industry, to localize it within the strategic vision of the economic zone of the Suez Canal; Where the authority is working to find integrated industrial gatherings to localize the automotive industry and the value -related chains, in implementation of the national strategy to localize the automotive industry launched by the Egyptian government from the heart of the integrated East Port Said region of the economy of the Suez Canal.
The head of the commission added that the recent promotional tour launched by the authority to China included field visits and meetings with officials of major car manufacturers, especially electrical and batteries, and the participating tour also included a round table that included 6 companies representing senior auto parts manufacturers and luxuries in China, noting that these meetings and talks came in light of the authority’s targeting of resettling the auto industry, and with the aim of identifying modern technology in the automotive industry, in addition to reaching a visualization Comprehensive for the various investment needs of similar projects such as energy, facilities, area, employment size, and others.
It should be noted that the Silon Group is one of the largest Chinese industrial entities in the auto and vehicle tires industry sector, and it has factories in China and Vietnam, with a total production capacity of more than 26.6 million TBR frames, 88 million PCR frameworks, and 310,000 tons of OTR tires annually, and it also has a sales and logistical services base covering more than 180 countries and region around the world, The group factory to be established in the economic zone of the Suez Canal is also considered a central manufacturing base to meet the needs of the local market and neighboring markets.
