Prime Minister Moustafa Madbouli on Wednesday reviewed progress on Egypt’s National Automotive Industry Development Program (AIDP), in a meeting attended by Minister of Industry Khaled Hashem and Head of the Automotive Unit Alaa Salah.
Madbouli said the meeting reflects the government’s commitment to localizing the automotive industry by building a strong industrial base and attracting major global manufacturers to Egypt.
He highlighted a particular focus on electric vehicles, in line with the state’s shift toward clean energy and reduced reliance on conventional fuels.
Hashem outlined the programme’s key pillars, noting that they are being developed through a collaborative approach involving car manufacturers, government entities, and private sector representatives. The aim is to enhance the programme’s flexibility and better respond to industry needs.
Salah reviewed the programme’s current requirements, including minimum annual production levels, targeted local content ratios, engine capacity limits, and value-added benchmarks for both conventional and electric vehicles.
He also highlighted planned incentives tied to environmental compliance, investment size, and export potential.
The meeting further discussed activating investment incentives under the Investment Law for the automotive sector and its feeder industries.
Plans are also under study to replace aging vehicles with new electric models and provide non-financial incentives to support local component manufacturing.
Madbouli instructed the Industry Minister to prioritize this file, stressing that Egypt is ready to offer exceptional incentives to global automakers and finalize ongoing negotiations to launch large-scale production.
