Prime Minister Mostafa Madbouly on Sunday witnessed the signing of a contract to establish a plant for manufacturing electric batteries in partnership between Egyptian battery maker BME and China’s Contemporary Amperex Technology Co. Limited (CATL), the world’s largest electric battery manufacturer.
The agreement was signed by BME Chairman Maged Wahib and CATL Director of International Investment Luo Haining, in the presence of Industry Minister Khaled Hashem and BME board members Amin Karim Ghabbour and Lotfy Tadros.
BME was established by Egyptian transport manufacturer MCV and Auto D for Industry, Trade and Supplies.
The new plant aims to establish a specialised industrial base for battery systems in Egypt. It will initially produce batteries for heavy commercial vehicles, with plans to expand into passenger-car batteries and energy-storage systems.
The project is designed to support Egypt’s growing transport and energy sectors, while strengthening local manufacturing and export capacity.
The first phase will have an annual production capacity of 1 gigawatt-hour, with initial investments exceeding LE2 billion ($39 million). The second phase will increase capacity to 5 gigawatt-hours a year and add production of passenger-car batteries and systems for storing solar and wind energy.
The project targets a local component ratio of 40 per cent and is expected to supply both domestic and international markets. It will also create jobs and help develop technical skills among Egyptian workers.
The partnership will combine BME’s local manufacturing and engineering capabilities with CATL’s advanced battery technology, production equipment and technical expertise. The plant will supply locally manufactured battery systems to vehicle producers in Egypt, reducing reliance on imports and cutting shipping and logistics costs.
Speaking at the signing ceremony, Madbouly welcomed the agreement, describing CATL as a global leader in battery manufacturing with extensive expertise and capabilities.
He said the government expected work on the project to begin soon and would take the necessary measures to support battery manufacturing and technology localisation in Egypt.
Hashem said the plant marked an important step towards building Egypt’s domestic battery manufacturing capacity as the global shift towards electric vehicles and energy-storage technologies accelerates.
He said automotive component manufacturing was a cornerstone of Egypt’s national programme to develop the automotive industry and attract major global carmakers.
The agreement with the world’s largest electric battery manufacturer, he added, also demonstrated the ability of Egypt’s industrial sector to meet international manufacturing standards and produce competitive, high-quality products.
Ghabbour said the agreement was part of efforts to deepen local manufacturing, localise advanced industries and technologies, and strengthen Egypt’s capacity to produce automotive components, particularly for electric vehicles and battery systems.
He said the partnership would combine CATL’s advanced battery technology with Egyptian industrial and engineering capabilities, supporting technology and knowledge transfer and helping build a local battery supply chain.
Ghabbour added that BME aimed not only to manufacture battery systems for heavy commercial vehicles but also to lay the foundations for an integrated battery industry that could eventually expand into passenger-car batteries and energy-storage solutions.
Such expansion, he said, would create new investment, manufacturing and export opportunities and support Egypt’s ambition to become a regional hub for emerging industries.
