Egyptian Prime Minister Moustafa Madbouly witnessed the signing ceremony of a memorandum of understanding (MoU) on Tuesday to build EPAZ, a complex for manufacturing vehicles and to localize the automotive and feeding industries in East Port Said, according to an official statement.
The Suez Canal Economic Zone (SCZONE), the Sovereign Fund of Egypt (TSFE), East Port Said Development Company, and Egyptian International Motors (EIM) have signed the MoU to build the EPAZ vehicle manufacturing factory with a capacity of 75,000 automobiles annually in the first stage.
MoU aims to enhance returns from investment in this vital sector by assembling and manufacturing cars and vehicles, the statement added. In addition to that it plans to localize this industry, replace imports, and improve supply chains locally and internationally.
The statement mentioned that the collaboration will establish a joint industrial complex for the manufacture of auto parts and accessories in Port Said.
Furthermore, it will ensure the commitment of the Egyptian International Motors Company to use the agreed production capacity.
The MoU signed after Madbouly’s announcement about the national strategy for the development of the automotive industry.