#Egypt #Cairo #GAC International #CKD Project #Egypt Vision 2030

Launching a New Era in Automotive Industry: GAC International's CKD Project in Egypt

On May 19, 2025, a significant event was held at the heart of Cairo, marking a pivotal moment in the industrial partnership between China and Africa. The Guangdong-Hong Kong-Macao Greater Bay Area-Africa (Egypt) Economic and Trade Cooperation Exchange Conference set the stage for a landmark agreement that aims to localize automotive production in Egypt. This initiative by GAC International, a renowned player in the automotive sector, signals an ambitious move towards enhancing production capabilities and service operations within the country.

During the conference, high-profile attendees, including Tsang Kwok-wai, the Secretary for Constitutional and Mainland Affairs of Hong Kong, and Mohamed Abou El Enein, Vice President of the Egyptian House of Representatives, engaged in discussions that highlighted the importance of fostering industrial cooperation. The agreements reached during this conference laid down the framework for GAC International to embark on a Completely Knocked Down (CKD) assembly project in Egypt.

The CKD Project: A Commitment to Local Production

GAC International's CKD project involves setting up comprehensive facilities that will include vehicle welding and assembly lines, with mass production set to commence in the second half of 2026. This initiative will significantly enhance local manufacturing capabilities and is aligned with Egypt's National Industrial Strategy. With the project’s focus on local assembly, it is expected to not only improve the automotive landscape in Egypt but also contribute positively to the country's economy by creating jobs and fostering skilled labor.

Feng Xingya, Chairman of GAC Group, highlighted the company’s global footprint, having established a presence in 76 countries and regions, showcasing its commitment to international cooperation and local operations. The CKD project is expected to be a stepping stone towards achieving local service capabilities and enhancing customer satisfaction through proximity and efficiency.

Strategic Agreements: A Step Towards Greater Collaboration

Following the conference, Feng Xingya held a strategic meeting with Kamel El-Wazir, Egypt's Minister of Industry and Vice Prime Minister. The discussions revolved around aligning their goals within the framework of Egypt’s industrial strategy. A strategic cooperation agreement was signed, marking the beginning of an exciting chapter in the China-Egypt automotive collaboration landscape.

Through this partnership, GAC International aims to contribute to Egypt’s Vision 2030, a national agenda that seeks to promote sustainable development and enhance competitiveness within various sectors, including the automotive industry. The collaboration also reflects the broader strategy by the governments of Guangdong Province and Egypt to deepen industrial ties and create a robust manufacturing ecosystem.

A Vision for the Future: Egypt as a Hub for Regional Logistics

Pioneering a CKD assembly project in Egypt places GAC International at the forefront of the automotive industry, as it aims to transform the nation into a pivotal logistics hub for the Middle East and Africa. Leveraging its partnership with Abdul Latif Jameel, GAC is set to enhance its reach within the African market, nurturing a sustainable automotive ecosystem that will respond to regional needs and preferences.

The initiative by GAC International does not just signify the commencement of automotive assembly; it symbolizes a commitment to technological advancements and innovation in the Egyptian automotive landscape. By investing in local production, GAC aims to infuse new technologies and best practices into the manufacturing processes, fostering a spirit of innovation that can propel Egypt’s automotive industry to new heights.

In conclusion, GAC International's CKD project represents a transformative shift towards local industrial capabilities and a renewed focus on functional cooperation between China and Africa. As GAC embarks on this journey, it is poised to not only shape the future of automotive manufacture in Egypt but also contribute significantly to regional economic development and collaboration.