Kingdom Holdings is getting ready to begin work on its first investment in Egypt, with the Chinese textile manufacturer inking an agreement with Elsewedy IndustrialDevelopment to develop a USD 60 mn textiles factory in its Industria Sadat zone in Sadat City, the Elsewedy Electric subsidiary said in a statement (pdf). The Egyptian Commercial Services- and General Authority for Investment and Free Zones-supported agreement will see the factory declared a private freezone.

The factory will kick off production in 2026, with an annual production capacity of 5k tons and is expected to create 1.5k local jobs.

What they said: “This initiative aligns perfectly with the Egyptian government’s vision to double textile and garment exports by 2026, strengthening Egypt’s position as an attractive investment destination,” Elsewedy Industrial Development CEO Mohamed Al Kammah said.

Chinese textile manufacturers have increasingly been looking to start production inEgypt, with only the last few weeks bringing news that the world’s largest producer of dyed fabrics and shirts could soon be setting up shop in Egypt, with Chinese dyed fabric giant Luthai Textile mulling a USD 385 mn factory. We also heard recently that Kelida will set up a USD 30 mn factory and that Jiangsu Lianfa Textile is looking to set up a USD 500 mn integrated complex for textile and ready-made garment production — to name just a few examples.

Keeping things straight: This Kingdom Holdings has nothing to do with Alwaleed bin Talal’s behemoth of the same name.

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