El Nasr Automotive’s comeback revs the accelerator pedal: State-owned El Nasr Automotive and the privately held Al Safy Group have set up a joint venture — dubbed SN Automotive — to assemble global car brands locally to sell in Egypt and export to other North African nations, according to a statement (pdf). After being established with EGP 500 mn in capital at the beginning of this year, the JV has now had initial investments of USD 40 mn, with further investments planned to expand operations.

Al Safy is the one in the driving seat: Al Safy holds a 76% stake in the venture, while El Nasr owns the remaining 24%.

The first three models will be launched next year: SN Automotive has already secured a contract with a major unnamed Chinese automaker and plans to launch three locally assembled models — one electric and two gasoline-powered — by mid-2025, with the company already having contracted automated welding lines for these models. The plants’ launch next year will also see SN Automotive announce a second partnership with another foreign automaker, according to the statement.

Remember: El Nasr this week officially restarted operations after a 15-year hiatus, delivering its first batch of electric 49-passenger buses in partnership with China’s Yutong to Transport Ministry-affiliated companies.

Who’s doing what? Al Safy is set to oversee the entire supply chain, from importing parts and securing local components to distributing cars, managing dealerships, and providing after-sales services. El Nasr will be responsible for manufacturing.

Deepening local industry: The partnership aims to increase the percentage of local components in manufactured cars from 49% to more than 60% — set to further efforts to deepen auto industry localization in the coming years.

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