Peugeot-Citroën halts Egypt investment plans until the fate of the Automotive Directive is made clear

Peugeot-Citroën halts Egypt investment plans until the fate of the Automotive Directive is made clear: Peugeot-Citroën halted negotiations with seven auto component manufacturers pending clarity on the much-anticipated Automotive Directive, Egyptian Federation of Industries’ automotive feeders division member Hossam Abdel Aziz tells Al Mal. The French automotive manufacturer had entered talks with AutoCool Egypt, Dr. Greiche Glass, Boysen Egypt, Industrial Control for Engineering Industries, El Teriak Industrial Group, and the Industrial Development of Automotive Components with an eye to benefit from the incentives laid out in the Automotive Directive. Abdel Aziz says he expects negotiations to resume once the directive — which offers local assemblers incentives to go further up the value chain — becomes law. This comes just one day after Chinese auto firm Geely announced it has plans to turn Egypt into a regional manufacturing and distribution hub, but that these plans are contingent on the passing of the directive. The House of Representatives’ Industry Committee had said earlier this month that the Automotive Directive would be a “top priority” on its agenda, whose opposition from auto importers has caused the legislation to remain dormant for several months.