Egypt poised to become regional automotive manufacturing hub: General Motors

General Motors believes Egypt has the fundamentals to become a regional centre for automotive manufacturing and exports to the Middle East and Africa. Sharon Nishi, Chair and Managing Director of General Motors Egypt & Africa, told Daily News Egypt that the company is working closely with the Egyptian government to develop supportive policies aimed at boosting exports and deepening local manufacturing. She noted that Egypt’s recently announced automotive industry strategy represents a critical first step towards building a more structured and competitive sector.

In an interview with Daily News Egypt, Sharon Nishi stated that Egypt's strategic location, skilled workforce, and supplier base developed over more than four decades position it as a strong candidate to serve as a regional automotive export hub. "This is our objective, and we are working towards it seriously," she said, adding that achieving this goal will require clear policies, targeted incentives, and close collaboration between the public and private sectors.

Nishi highlighted General Motors as one of the most advanced automakers in Egypt in terms of local manufacturing depth, noting that the company is close to achieving a local content rate of 50%. She described the progress made during the first year of local production of the Chevrolet Optra as unprecedented in the Egyptian market, qualifying the company for the government’s Automotive Industry Development Programme (AIDP).

Regarding electric vehicles, they currently account for around 4% of total car registrations in Egypt, with Nishi expecting this share to rise to between 5% and 6% in the near term, supported by a wider range of consumer options following the launch of the Captiva EV and Spark EV models. She emphasized that the shift to electric mobility will be gradual, pointing out that Egypt has around 1,300 charging points nationwide, and General Motors’ electric models can be charged using standard household outlets, with charging costs more than 10% lower than traditional fuel costs.

Commenting on overall market performance, Nishi described 2025 as an exceptional year for Egypt’s automotive sector, with growth reaching nearly 56%, and expects growth to normalise in 2026 at around 15%, signalling a transition towards healthy and sustainable growth. She confirmed that General Motors ended 2025 as the market leader in Egypt, stating: "We are number one in this market. We have already launched two electric models, and more are certainly on the way."

Addressing rising competition, particularly from Chinese automakers, Nishi said increased competition ultimately benefits the market and consumers. She stressed that General Motors’ strength in Egypt extends beyond its vehicles to include after-sales services, spare parts availability, warranty support, and a wide distribution network through its partnership with Mansour Automotive.

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