Egypt will establish a tire factory with investments valued at one billion euros (1.07 billion U.S. dollars) in the Suez Canal Economic Zone (SCZone) northeast of the capital, the Egyptian government said in a statement on Wednesday.
The factory will cover 400,000 square meters in three phases, it said.
The project aims to produce tires for private cars and heavy trucks with a production capacity of seven million per year at the time of full operation, it added.
The move is part of the SCZone’s strategy to localize several integrated service and industrial sectors, the statement said, adding that the new factory initially targets securing the needs of domestic markets and reducing importation.
It will provide 1,000 direct and indirect job opportunities.