Prime Minister Mostafa Madbouly on Wednesday attended the signing ceremony for a contract to establish a tire manufacturing factory at the Sokhna Industrial Zone in the Suez Canal Economic Zone, with investments of one billion euros.
The factory, named Rolling Plus, will be implemented in three phases across an area of 400,000 square meters.
The project aims to establish a factory to produce tires for passenger cars, light and heavy trucks, with investments of one billion euros, and a production capacity of seven million tires annually when the project phases are fully operational.
- The first phase will include the construction work for the factory, and production lines for car tires, with a capacity of 2.5 million tires annually.
- The investment cost of this phase ranges bereft to 400 and 450 million euros, with 50 percent of its production targeting the local market.
- The second phase includes production lines for light truck tires and aims to produce 3.5 million tires annually, supplying 40 percent of production to the local market.
- The third phase includes establishing production lines for heavy truck tires and aims to raise total production to seven million tires annually.
The General Authority for the Economic Zone’s strategy to localize a number of industrial and service sectors relies on industries that are complementary to each other, the Chairman of the General Authority for the Economic Zone Walid Gamal Eddin explained.
He noted that the Rolling Plus tire manufacturing project falls under the strategy to localize the automobile industry and all complementary industries, such as the battery and tire industry.
The project also aims to provide the needs of the local market of tires, as part of the deliberate steps to reduce the import bill through the localization of the targeted industries, Gamal Eddin said.
The project provides 1,000 direct and indirect job opportunities, he noted.
Finnish technical partner Black Donuts will provide all technical consultations for the project’s designs from the beginning to its stages of tire manufacturing.