Cairo – Mubasher: Egypt has signed a memorandum of understanding (MoU) with Japan-based automobile manufacturer Nissan for the construction of a new vehicle plant in El Amerya, the Egyptian public business sector minister said.
The capacity of the planned auto plant is expected to reach around 100,000 cars per year, Hisham Tawfiq added in a speech during an investment conference in Cairo, noting that the final deal will be inked within a three-month period.
The two parties will conduct the required studies to set the main stages for developing the vehicle industry in Egypt, state-run news agency MENA reported, citing Tawfiq.
The public business sector ministry had turned El Nasr plant for assembling cars into a vehicle export hub as it exports up to 50,000 cars a year, Tawfiq noted.
He indicated that the ministry faces a real problem when it commercialises products and that is why it tends to set a marketing entity to handle sales and exports of its arms.
This came on the sidelines of the inauguration of Portfolio Egypt 2019 organised by Al Mall GTM in Cairo.
Earlier this day, Peyman Kargar, chairman of Nissan in Africa, the Middle East, and India, said in an interview to Bloomberg that Nissan plans to boost production from its Egyptian factory by 6,000 vehicles to 28,000 in 2019 as of 1 April.
