Egypt's Minister of Industry, Khaled Hashem, has emphasized that the country's industrial strategy focuses on increasing exports, attracting investments, and deepening local manufacturing. He made these remarks during the African Automotive Investment Forum, organized by the African Export-Import Bank (Afreximbank) in partnership with the African Continental Free Trade Area (AfCFTA) Secretariat. The forum aims to unlock the potential of Africa's automotive industry under the AfCFTA agreement.
Minister Hashem highlighted that the automotive industry is a prime example of combining advanced technology, investment, innovation, and job creation. He stressed that Egypt's strategy involves attracting investments that transfer technology and industrial expertise, creating high-value-added production. The government prioritizes industrial development as a key driver of economic growth, with a focus on developing small and medium-sized enterprises.
The minister noted that the automotive sector offers significant opportunities for Egypt and Africa to boost manufacturing, develop regional value chains, and increase the African content. He emphasized that the industry can help achieve the goals of Agenda 2063, a strategic framework for Africa's development. Egypt aims to become a leading player in the global automotive industry by deepening local manufacturing and increasing the domestic component.
Minister Hashem announced that the Ministry of Industry is launching a new package of incentives within the National Program for Automotive Industry Development. The program, in collaboration with the African Association of Automotive Manufacturers, aims to encourage vehicle manufacturers to increase their use of local components and enhance cooperation with local suppliers. Egypt is also seeking to leverage international and African expertise in the industry.
The minister emphasized that the Ministry of Industry is committed to creating a stable, transparent, and favorable business environment for investors in the industrial sector. He invited automotive manufacturers and suppliers to benefit from the opportunities offered by the National Program for Automotive Industry Development and participate in building the sector's value chain in Egypt.
Minister Hashem also highlighted Egypt's initiative to promote African industrial integration, which aims to build integrated African value chains and enhance manufacturing capacities across the continent. The initiative seeks to stimulate joint industrial investment, intra-African trade, and the substitution of imported products with locally manufactured ones.
The forum witnessed the signing of an agreement between the Arabi Egyptian Group and South African company Malben Engineering to establish a joint industrial platform for manufacturing automotive components. A protocol was also launched to establish the Egyptian-South African Business Council, in the presence of Minister Hashem and Investment and Foreign Trade Minister, Mohamed Farid.
Key points
- Egypt's Minister of Industry, Khaled Hashem, announces new incentives for the national program to develop the automotive industry.
- The program aims to encourage vehicle manufacturers to increase their use of local components and enhance cooperation with local suppliers.
- Egypt seeks to leverage international and African expertise in the industry to become a leading player in the global automotive industry.
