The General Authority for the Suez Canal Economic Zone (SCZONE) marked a new milestone today as Mr. Waleid Gamal El-Dien, Chairman of SCZONE, attended the groundbreaking ceremony of the Chinese Sailun Group tire manufacturing plant in the TEDA-Egypt industrial developer’s area at Sokhna Integrated Industrial Zone.
The ceremony was attended by Major General Tarek Hamed El-Shazly, Governor of Suez; Major General Engineer Mokhtar Abdel Latif, Chairman of the Arab Organization for Industrialization; Mr. Zhao Liuqing, Minister-Counselor at the Chinese Embassy in Egypt; Mr. Shi Shaohong, President of Sailun Group; along with senior SCZONE officials, representatives of TEDA-Egypt, and members of the Chinese delegation.
The project, one of the largest Chinese industrial investments in Egypt, will cover 350,000 square meters with a total investment of USD 1 billion (EGP 48 billion). It will be executed in three phases over three years. The first phase, expected to launch operations in 2026, will produce 3 million passenger car tires and 600,000 truck and bus tires annually, creating around 1,500 direct jobs. Once fully operational, the plant’s capacity will exceed 10 million tires per year, serving Egypt’s local market while unlocking substantial export potential across regional and international markets.
“This mega project constitutes a cornerstone in SCZONE’s strategy to localize the automotive industry and its related value chains, in alignment with Egypt’s national strategy for automotive industry localization,” said Mr. Waleid Gamal El-Dien. “It reflects our commitment to establishing integrated industrial clusters that will position SCZONE as a leading regional platform in this vital sector.”
He added: “The Sailun factory highlights the growing confidence of global investors in SCZONE’s investment climate, supported by our strategic location, attractive incentives, and integrated infrastructure connected to six seaports. This project will boost value-added production, create direct and indirect job opportunities, and enhance Egypt’s role in global automotive supply chains.”
Sailun Group, one of China’s largest tire manufacturers, operates plants in China and Vietnam with combined annual capacities of 26.6 million truck and bus radial tires, 88 million passenger car radial tires, and 310,000 tons of off-the-road tires. With a sales and logistics network spanning more than 180 countries and regions, the new Sokhna factory will become a central manufacturing hub to serve Egypt, Africa, and international markets.
