• The plant could produce over 10 million tires annually at full capacity.
• First phase of the project to start in 2026.
• Project aims to cut Africa’s reliance on tire imports and boost Egypt’s automotive sector.

Egypt has signed a $1 billion agreement with Chinese tire manufacturer Sailun to build a large-scale production facility in the TEDA Egypt industrial zone in Aïn Sokhna, within the Suez Canal Economic Zone. Spanning 350,000 m², the project will be developed in three phases over three years.

The first phase, due for commissioning in 2026, will produce 3 million passenger car tires and 600,000 truck and bus tires annually. At full capacity, output is expected to exceed 10 million tires a year, serving both the domestic market and export destinations.

By boosting local production, Egypt aims to reduce Africa’s dependence on imported tires, a market valued at $6.35 billion in 2024 and projected to reach $8.34 billion by 2030, according to MarkNtel Advisors. The investment supports the country’s strategy to strengthen its automotive industry, already the continent’s third largest, and complements efforts to increase local content alongside global manufacturers, like Toyota, Stellantis, Nissan, Hyundai and General Motors, and the national brand Nasr.

Egypt is Africa’s third-largest actor in the automotive industry. It comes behind Morocco and South Africa

This article was initially reported in French by Henoc Dossa

Edited in English by Ola Schad Akinocho