The Arab Organization for Industrialization (AOI) and China’s Xingaoyi Medical Equipment (XGY) will develop a USD 100 mn medical equipment factory, the organization’s Chairman Mokhtar Abdel Latif told Asharq Business, adding color to a statement from the organization that details the signing of a partnership contract between the two sides. A new entity, the Arab-Chinese Medical Industries Company, will be established by both parties to manage their partnership and the construction of the factory.

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Déjà vu? We heard last month that AOI subsidiary Arab African Company for Medical Industries (AACMI) inked a partnership agreement to establish a factory to locally manufacture medical equipment with the Chinese firm.

The details: AOI will provide the land, construct the factory, supply utilities, and offer labor, while XGY will supply the raw materials and all of the factory equipment. The factory will produce X-ray machines, MRI scanners, CT scanners, and ultrasound devices for the first time in Egypt. The new facility aims to supply 40% of Egypt’s medical imaging equipment needs, with the country currently importing all of its requirements. The factory is expected to commence production in June 2026.

Looking ahead, AOI also plans to establish three medical manufacturing plants in partnership with African companies. One of them will produce orthopedic plates and screws and is set to be launched by the end of 2025. The other two will produce surgical sutures and safety syringes, aiming to cover 25% to 40% of the imported quantities of these products, which are currently not manufactured in Egypt.

ALSO- Ezz Industries’ Ezz Medical Industries will invest EGP 3 bn to develop a medical device industrial complex in Sixth of October, Ezz Medical Managing Director Kamel Galal told Asharq Business. The complex is expected to be operational by the end of 2026 and will include a ventilators factory and others for producing other electronic medical devices. Ezz Medical has earmarked 70% of production for export.