BAIC Partners with Alkan Auto to Establish Electric Vehicle Factory in Egypt

China’s BAIC has entered a strategic partnership with Egypt’s Alkan Auto, a subsidiary of Egyptian International Motors, to set up an electric vehicle (EV) factory in Egypt. The agreement was signed by BAIC Vice President Zhao Bingfei and Alkan Auto Chairperson Khaled Nosseir. Key attendees included Kamel El-Wazir, Egypt’s Deputy Prime Minister for Industrial Development and Minister of Industry and Transport, alongside Song Wei, President of BAIC, and other senior officials from the Ministry of Industry.

Minister El-Wazir emphasized that this initiative aligns with President Abdel Fattah Al-Sisi’s vision to transform Egypt into a regional industrial hub. The agreement supports goals to localize the automotive industry, enhance private sector participation in manufacturing, and strengthen supporting industries. The Minister affirmed the Ministry’s commitment to expedite the factory’s production phase, with the Industrial Development Authority already allocating essential industrial land. الاضافه الي ذلك, he pledged support in fast-tracking industrial licensing to facilitate a swift start to operations.

The Ministry of Industry reiterated its dedication to boosting local manufacturing and attracting global investments in the automotive sector, both to fulfill local market needs and to increase exports to the Middle East and Africa. Minister El-Wazir stressed that the Ministry stands ready to support international car companies in expanding within Egypt, a move poised to increase real investment flows, further localize industry, and generate substantial job opportunities for youth.

Scheduled to begin production by late 2025, the factory will span 120,000 متر مربع. البدايه, it will aim to produce 20,000 vehicles in its first year, with an ambitious goal to reach 50,000 units by the fifth year. Approximately 48% of materials will be sourced locally, with a target to increase this to 58%, creating around 1,200 new jobs.

BAIC President Song Wei expressed the company’s commitment to the Egyptian market, recognizing it as one of the most vital in the region. This commitment was underscored by the recent launch of a new car model in Egypt, marking its global debut. Song also highlighted BAIC’s longstanding operations in China since 1958 and its focus on electric vehicle production, fueled by continuous investments in research and development to deliver high-quality vehicles both domestically and internationally.