Egypt has inked two significant agreements to establish an MG car manufacturing facility with a total investment of $135 million. These agreements concluded on December 29, include a technical licensing deal between Al Mansour Automotive Group and China’s SAIC Motor Corporation for local production of MG-branded cars, alongside a land allocation contract for the factory in the industrial zone of New October City.
The technical licensing agreement was signed by Ankush Arora, CEO of MAC for Vehicle Manufacturing, a subsidiary of Al Mansour Automotive Group, and Emin Zao, Vice President of SAIC Motor. Concurrently, the land allocation contract was signed by Eng. Sayed Metwally, Head of the General Authority for Land Ports and Dry Ports, and Ankush Arora.
Spanning 126,000 square meters, the state-of-the-art factory will commence operations in the second quarter of 2026. In its initial phase, the facility will produce 50,000 units annually, with plans to double this capacity to 100,000 units during the second phase. The plant is targeting a local component integration rate exceeding 45%, further aligning with Egypt’s strategy for industrial localization.
This project underscores Egypt’s broader strategy to localize its automotive industry, enhance export potential, and reduce reliance on imports. The facility is expected to generate over 10,000 direct and indirect jobs and will serve as a center for training local talent, ensuring skill development and technological advancement.