TEDA is getting another solar power component production complex: Egyptian, Chinese, Bahraini, and Emirati investors are setting up a USD 220 mn industrial complex for solar energy components in the China-Egypt Teda industrial zone — they inked the land usufruct agreement yesterday, according to a statement.

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Meet the players: There is Chinese manufacturer of solar components JA Solar ; Bahraini PE Infinity Capital ; Emirati resources investment firm Global South Utilities ; and Egyptian AH Group. The Chinese side will act as the technical investor, while the other partners’ roles in the project were not disclosed.

The details: The industrial complex — dubbed Atom Solar Egypt — will include three factories with a combined production capacity of 2 GW of solar cells — all of which will be exported — 2 GW of solar modules — which will feed the domestic and regional markets —- and a 1 GWh energy storage systems plant. The project will be completed within 3 years and will create 841 jobs.

We had an idea this was coming: GSU inked an MoU with JA Solar in November to establish two solar power factories — a solar cells plant and a solar panels plant

Not the first of its kind: Earlier this summer, China’s Sunrev Solar inked a contract with the China-Egypt TEDA trade zone to build a USD 200 mn integrated industrial complex for solar energy components.

REMEMBER- Both complexes align with Egypt’s broader strategy to localize 12 strategic industrial components, which includes solar cells, alongside electric motors, control panels, and elevators and others. The strategy aims to not only reduce the country’s import bill — and resultant strain on FX resources — but to also export these components.

There’s more to the story: Chinese solar power component manufacturers have been moving their production facilities to Egypt and the rest of the MENA region as they face pressure in their home market due to ongoing trade wars and geopolitical friction. We dive deeper into this trend in a Going Green published last month — check it out here.

The story got ink from the foreign press: Reuters.

IN OTHER INVESTMENT NEWS-

#1- German home furniture firm Sun Garden will invest USD 7 mn in a new factory for home furnishings, mattresses, and outdoor furniture in Qantara West, marking the first German industrial investment in West Qantara, the Suez Canal Economic Zone said in a statement. The project will create 500 direct jobs and earmark 90% of production for export.

#2- Greek textile firm Tzanidakis Miaxah Marinos is setting up a USD 4 mn ready-made garments factory in Qantara West, marking the first Greek industrial investment in the Suez Canal Economic Zone, the zone said in a statement. The facility will export 70% of output and create 1k direct jobs.

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