Dr. Mustafa Madbouly, Prime Minister, held a meeting this evening; To review the developments of the national strategy for the automotive industry, and to discuss the mechanisms of the localization program for this industry in Egypt, in the presence of Eng. Hossam Abdelaziz, member of the Supreme Council for the Automotive Industry, Dr. Ahmed Fekry, member of the Supreme Council for the Automotive Industry, and Eng. Ehab Awad, member of the Supreme Council for the Automotive Industry.
Madbouly: The state is ready to provide a stimulus package, provided that this industry is quickly localized and the required car factories are operating
The Prime Minister started the meeting, referring to his meeting with a large number of auto industry investors, in South Africa, on the sidelines of his recent participation in the 15th BRICS summit meetings on behalf of the President, pointing to what he reviewed during this meeting of the steps taken by the Egyptian state to Localizing the automobile industry in Egypt, stressing in this regard what he had indicated of his full readiness to provide any facilities or incentives, with the aim of accelerating the localization of this important industry.
Meanwhile, the Prime Minister said: There must be a road map with specific timings; To establish car factories in Egypt, similar to what we witnessed in South Africa.
The Prime Minister called on the attendees to maintain continuous contact with the auto industry investors. To complete these steps, and achieve what we aspire to in terms of localizing this important industry.
During the meeting, Engineer Hossam Abdulaziz, a member of the Supreme Council for Automobiles, reviewed the developments of the national strategy for the automotive industry, as it was indicated that the strategy’s goal is to establish a sustainable industry based on real economic feasibility and global competitive advantages with technical support from the African Union of Automotive Manufacturers. It is compatible with the rules of international trade, enhances quantitative economies, maximizes local added value, maximizes the benefit from the Egyptian industrial and logistical infrastructure, creates decent job opportunities, and stabilizes the balance of payments.
Abdel Aziz referred to the stages of development of the strategy preparation. In February 2023, the first meeting of the Supreme Council of the Automotive Industry was held, and 3 framework agreements were signed between the Egyptian government, Nissan, Stelantis, and Al-Mansour Automotive Group. In June 2023, the second meeting of the Supreme Council of the Automotive Industry was held, in the presence of the African Union delegation. For car manufacturers, a memorandum of understanding was signed between the Ministry of Commerce and Industry represented by the Automotive Industry Unit regarding technical support for the auto industry development plan.
It was also mentioned that the second meeting of the Board of Directors of the Environmentally Friendly Car Industry Fund was held, which ended with the inclusion of 500 million pounds from the state’s general budget for the fund.
The meeting also reviewed the stages and timings of implementing and activating the automobile industry development strategy.
During the meeting, Dr. Ahmed Fekry explained that the past two years have witnessed tangible steps in the auto industry localization file, but these steps must be completed, reviewing a number of important measures required in this period in this context.
The Prime Minister concluded the meeting by emphasizing that the state is ready to provide a stimulus package, provided the speedy localization of this industry, and the operation of the auto factories required within the auto industry localization strategy, indicating full readiness to provide lands, and even build factories within an agreement with serious investors in the auto industry, who will operate these Factories.