Egypt’s General Authority for Investment and Free Zones (GAFI) signed on April 5th a memorandum of understanding (MoU) with Japanese operating automotive supplier Yazaki Europe Limited for the establishment of a new factory for car components in Faiyum, 62 miles southwest of Cairo.
Per the agreement the project will require a primary investment of up to €20 million, the Egyptian government said in a statement.
GAFI will provide necessary support to Yazaki for the establishment of the new factory which will be situated on 60,000 square meters.
GAFI will equally fulfill all required procedures in coordination with competent authorities to finalize the project in the set schedule. On the other hand, Yazaki will export 100% of production with an estimated value of €100 million annually. The company will also integrate up-to-date Japanese technology into Egyptian industries, turning the country into a regional investment hub for car manufacturing.
The future factory is expected to generate around 3,000 jobs after becoming operational in July 2023.
Egypt’s GAFI, Japan’s Yazaki Europe ink MoU to set up new car components factory
