Egypt is seeking to attract major global automakers to localize the production of electric vehicles and components as part of a national strategy to meet domestic demand and expand exports, Prime Minister Mostafa Madbouly said on Tuesday. The government is prioritizing the National Automotive Manufacturing Programme to transition toward clean energy and reduce reliance on traditional fuels. During a meeting with the ministers of industry, finance, and investment, Madbouly emphasized building a major industrial base capable of enhancing regional and international competitiveness.
On Tuesday, January 27, 2026, Prime Minister Mostafa Madbouly met with the ministers of industry, finance, and investment to discuss plans to attract major global automakers to localize electric vehicle production. Madbouly stated that these efforts are part of the National Automotive Manufacturing Programme, aimed at transitioning to clean energy, reducing reliance on traditional fuels, meeting local demand, and boosting exports.
Cabinet Spokesperson Mohamed El-Homsani said the meeting reviewed several proposals from major companies interested in investing in the automotive sector. The government is currently evaluating incentives and facilities to support the shift toward sustainable transport and deeper local manufacturing.
Minister of Investment and Foreign Trade Hassan El-Khatib reported that total investment costs for projects in Egypt's free zones reached $38.5 billion by October 2025, with 1,237 projects and an aggregate capital of $14.3 billion, providing approximately 245,000 direct jobs. In 2024, commodity exports from these zones were valued at $11 billion, service exports at $7 billion, and petroleum exports at $6.5 billion. Of the total projects, 1,019 are located in nine public free zones covering industrial, storage, and service sectors.
The meeting also focused on targeted activities in the free zones aligned with the state strategy, including information technology, software development, pharmaceuticals, and automotive components, as well as food industries, textiles, logistics, and power generation solutions. Attendees included Kamel El-Wazir, Deputy Prime Minister for Industrial Development and Minister of Industry and Transport; Ahmed Kouchouk, Minister of Finance; and several other government officials.