The General Authority for the Suez Canal Economic Zone (SCZONE) signed a memorandum of intent with ZC Rubber to study the potential development of the industrial complex on an initial area of approximately 600,000 square meters.
China’s Zhongce ZC Rubber is exploring the establishment of an integrated tire manufacturing complex in the Sokhna Industrial Zone , with estimated investments of around $500 million.
The General Authority for the Suez Canal Economic Zone (SCZONE) signed a memorandum of intent with ZC Rubber to study the potential development of the industrial complex on an initial area of approximately 600,000 square meters.
The proposed project is planned to be implemented in three phases and will include tire production lines, along with related industrial, service, and logistics activities. Around 95% of the targeted production is expected to be directed toward exports.
Egypt’s Minister of Investment and Foreign Trade Mohamed Farid said the signing represents an important step toward establishing an integrated industrial project in the tire sector, reflecting Egypt’s efforts to attract foreign direct investment in high-value industries, expand production, deepen local manufacturing, and boost exports.
Farid highlighted Egypt’s competitive advantages, including its strategic location, developed infrastructure, transportation networks, ports, and logistics capabilities, which position the country as a regional hub for tire manufacturing and exports to Africa, the Middle East, and Europe.
He added that the project’s export-oriented strategy demonstrates the potential to strengthen Egypt’s export capacity, enhance the competitiveness of locally produced goods, and introduce advanced tire manufacturing technologies while developing local technical expertise.
SCZONE Chairman Mostafa Sheikhon said the project aligns with the authority’s strategy to attract specialized industrial investments, support local manufacturing, and develop value-added industries.
He noted that the Sokhna Industrial Zone offers integrated advantages for large-scale and export-focused industries due to its connection to global markets and major trade routes, adding that cooperation with ZC Rubber reflects the zone’s ability to attract major international manufacturers, particularly amid growing Chinese investments in Egypt.
ZC Rubber Chairman and General Manager Shen Jinrong said the company plans to implement the project in three phases with estimated investments of around $500 million, targeting the export of approximately 95% of its planned automotive and truck tire production.
The company aims to leverage Sokhna’s advanced infrastructure and logistics capabilities to expand into regional and international markets, particularly across the Middle East, Africa, and Europe.
The memorandum of intent serves as an initial framework to evaluate the project’s technical and investment requirements. Both sides will continue coordination to finalize studies, determine the suitable location, and complete the necessary procedures before moving toward implementation.
