• Prometeon to build $300M tire plant in Egypt’s free zone
• New facility targets truck, machinery, and tractor tire production
• $400M also planned to expand and upgrade existing Al-Amiriya plant

The Egyptian government on Tuesday, Dec. 16, approved plans by Italy’s Prometeon Tyre Group to build a second tire manufacturing plant in the country, representing an investment of $300 million.

The facility will produce tires for heavy trucks, engineering equipment, construction machinery, and agricultural tractors. Future expansion could include passenger vehicle tires, according to a government committee on industrial development that includes representatives from the transport, finance, and investment ministries. The factory will be located in one of Egypt’s free zones and will serve the domestic market while strengthening the company’s export capacity. Prometeon already operates one plant in the country.

Prometeon Tyre Group was formerly the tire division of Italian manufacturer Pirelli before being acquired in 2022 by China National Tire & Rubber. The group also plans to invest an additional $400 million to modernize its existing facility and raise annual production capacity by 1.5 million tires, from the current 1.2 million. The company is seeking to acquire an additional 200,000 square meters of land adjacent to its current site in the northern industrial city of Al-Amiriya to support further expansion.

Several automotive suppliers, including Japan’s Yazaki and China’s Sailun Group, already operate in Egypt. Automakers such as General Motors, Toyota, and Stellantis also have a presence in the country. The government offers tax, financial, and land incentives to build a competitive local value chain and position Egypt as a major automotive hub in Africa.

Walid Kéfi