Monday, 25 May 2026
China’s Sailun Group to invest $1 billion in major tire plant in Egypt’s Suez Canal Economic Zone
AIN SOKHNA - Egypt has broken ground on a $1 billion automobile tire manufacturing plant, one of the largest Chinese investments in the country’s industrial sector to date. The foundation stone for the project—led by the Chinese Sailun Group—was laid today in the integrated industrial zone of Ain Sokhna, within Egypt’s Suez Canal Economic Zone.
The factory, spanning 350,000 square meters, is expected to produce over 10 million tires annually once all phases are complete. The first phase, scheduled for operation by 2026, aims to manufacture 3 million car tires and 600,000 truck and bus tires each year, creating 1,500 new jobs. The project will be developed in three phases over three years, with a focus on both Egyptian and international markets.
Walid Gamal El-Din, Chairman of the Suez Canal Economic Zone Authority, emphasized that the Sailun plant marks a strategic step in localizing Egypt’s automotive industry and increasing the country’s role as a regional manufacturing and export hub. He noted the project exemplifies the growing confidence of global investors in Egypt’s investment climate, infrastructure, and strategic location.
Sailun Group is one of the world’s leading tire manufacturers, with extensive operations in China and Vietnam and a distribution network reaching more than 180 countries.
The new facility is seen as a boost to Egypt’s ambitions to develop integrated industrial clusters, strengthen supply chains, and generate significant employment in this vital sector.