Chinese tiremaker Sailun Group broke ground on its USD 1 bn automotive tire plant in the China-Egypt Teda industrial zone within the Sokhna Industrial Zone, according to a statement. The 350k sqm facility will be developed over three years in three phases.

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The details: The first phase is set to come online in 2026, producing 3 mn passenger car tires and 600k truck and bus tires annually, and creating around 1.5k jobs. Once fully operational, the factory will churn out more than 10 mn tires a year for both the local and export markets.

Sailun’s USD 1 bn factory isn’t the only local tire project in the works — and it’s not even the most expensive. Organi Group acquired 50% of Rolling Plus Chemical Industries in March to revive its EUR 1 bn tire factory project in the SCZone in partnership with Concrete Plus. In addition to this, an unnamed Chinese company is reportedly looking to set up a USD 360 mn tire factory in the SCZone in partnership with the state-owned Arab Organization for Industrialization.

** Read more about our fledgling domestic tire industry — and the challenges it’s facing — in this Inside Industry two-parter we published in 2023 (Part I | Part II).

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