27 June 2019
Chinese investors are planning to join hands with their Egyptian counterparts to set up an industrial complex that will manufacture electrical products for exports.

The Chinese-Egyptian Group for Industrial Investment, a new joint venture owned by Futek Egyptian Micro Electronics and General Electric International Operations Hong Kong, will set up the project in Sadat City, the Group's chairman Mohammed Helal told Thomson Reuters Projects.

Helal, who is also the president of Futek, said the joint venture would rent a complex to house 120 factory units that would manufacture electric appliances and other products mainly for export markets.

He didn't disclose details about the stakes of the partners in the JV or the investments involved.

Helal also pointed out that an Egyptian-Chinese business council is being established for the province of Guangzhou with the formation of the Chinese side complete and the Egyptian side in the process of being set up.

He said Futek is planning to invest nearly 500 million Egyptian pounds ($30 million) in a new 15,000 sq metre factory in Sadat city.

"The new factory will focus on the production of LED electric lamps and would operate on solar and wind energy....production is scheduled to begin by the end of this year and nearly 50 percent of the output would be exported," he said.

Futek was founded in 1987 to manufacture lighting products for commercial, residential and street lighting, according to the company website.

(1 US Dollar = 16.72 Egyptian Pounds)

(Reporting by Eman Hamed; Editing by Anoop Menon)

(anoop.menon@refinitiv.com)

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