More investment from China: Chinese company Xinxing Ductile Iron Pipesplans to invest USD 2 bn to build iron and steel plants in the Suez Canal Economic Zone (SCZone), according to a cabinet statement. The plants will produce iron pipes and steel products for domestic use and for export and will be located in China’s TEDA industrial zone in Ain Sokhna.

By the numbers: The project is expected to generate an annual turnover of USD 2.6 bn and create more than 2.1k jobs. The first phase will see Xinxing build a USD 150 mn cast iron pipe factory that will employ more than 600 people and produce some 250k tons of pipes annually. In the second phase, the company will build a USD 1.8 bn steel factory, producing some 2 mn tons of steel products for export each year and employing 1.5k people.

This is the third big-ticket investment Chinese firms have been involved in recently: Hong Kong-based port operator Hutchison Ports and Chinese shipping firm Cosco Shipping Ports were among the companies that earlier this month signed agreements worth USD 1.6 bnto develop new container terminals at the Ain Sokhna and Dekheila ports. China Energy also said recently that it would begin work on a USD 5.1 bn green hydrogen facility in May.

March also saw Chinese manufacturers expand production in the SCZone: Fiberglass manufacturer Jushi Group inaugurated a USD 320 mn production line at its factory in the zone while the Egypt Fanyang Textile Company opened a USD 60 mn factory.

DANONE’S 2023 INVESTMENT PLANS-

Danone Egypt will invest EGP 170 mn in its operations this year, up from EGP 150 mn last year, Hesham Radwan, general manager and managing director of Danone Egypt and Northeast Africa, told Al Shorouk.

More localization + exports: The company is working to increase the use of local components in its operations to 85% within the coming three years and increase its exports to 5% of its total Egyptian production from 3% currently.

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