The proposed three-phase project in Ain Sokhna will target export markets across Africa, the Middle East and Europe, with around 95% of production expected to be exported.
China’s Zhongce Rubber Group Co. (ZC Rubber) is exploring the establishment of an integrated tyre manufacturing complex in Egypt’s Sokhna Industrial Zone, with estimated investments of approximately $500 million. The proposed project is expected to strengthen Egypt’s position as a regional manufacturing and export hub for the tyre industry.
The project follows the signing of a letter of intent between ZC Rubber and the Suez Canal Economic Zone (SCZONE). The agreement was witnessed by Egypt’s Minister of Investment and Foreign Trade Mohamed Farid and SCZONE Chairperson Mostafa Sheikhoun. The letter marks an initial step toward studying the development of the proposed industrial complex.
The facility is planned for an initial area of around 600,000 square metres in the Ain Sokhna Industrial Zone. It will include integrated tyre manufacturing lines along with related industrial, service and logistics activities. Development is expected to take place in three phases, although the authorities have not yet announced a detailed construction timeline.
Around 95% of the proposed production of passenger car and truck tyres is expected to be directed towards export markets. The project is intended to use Ain Sokhna’s logistical advantages and infrastructure to serve customers in Africa, the Middle East and Europe.
ZC Rubber Chairman and General Manager Shen Jinrong said the project would support the company’s expansion into regional and international markets. The location’s access to major trade routes, ports and industrial infrastructure is expected to support the movement of raw materials and finished tyres.
Egyptian officials described the agreement as an important step toward attracting foreign investment into high-value manufacturing. Mohamed Farid said the project could contribute to expanding local production, increasing exports and introducing advanced tyre manufacturing technologies while developing technical expertise within the country.
SCZONE Chairman Mostafa Sheikhoun said the proposed complex aligns with the authority’s strategy of attracting specialised industrial investments and supporting value-added manufacturing. He also highlighted the industrial zone’s connectivity to global markets as an advantage for export-oriented projects.
The proposed investment comes as Egypt continues to attract Chinese manufacturing projects to the Suez Canal Economic Zone. The development of tyre production capacity could also support related activities in logistics, industrial services, maintenance and supply-chain operations.
If implemented, the ZC Rubber complex would add another major tyre manufacturing project to the Ain Sokhna industrial area. The investment reflects the growing importance of Egypt as a production base for companies seeking access to African, Middle Eastern and European markets.