Parliament approves cutting fees on mobile production components

The new decree, presidential decree no.67 for 2023, is part of efforts to boost the local manufacturing industry

By: Business Today Egypt

Wed, Mar. 1, 2023

The mobile manufacturing industry will be having an easier time importing necessary mobile phone and accessory components after the Egyptian Parliament approved cutting customs duties and canceling development fees.

The new decree, presidential decree no.67 for 2023, is part of efforts to boost the local manufacturing industry, removing the 5% state development fees for components with customs tariffs going as low as 0% for certain items.

Imported components under the new decree include those used for phone production and accessories such as headphones, batteries and cameras and will average around 2%.

Currently, components are subject to fees as high as 30% - earphones at 30%; batteries, chargers, and mobile cameras at 5%; with 2% levied on screens.

Under the new amendments, tariffs for batteries, speakers, and cameras imported for smartphone assembly will be cut to 2%.

Notable companies producing phones and accessories in Egypt are Samsung – currently our top non-oil exporter – alongside local Sisco Egypt, Nokia phone manufacturer HMD Global, and Xiaomi which is planning to establish a local factory to the tune of EGP 1 billion to open in H2 2023.