China’s Xinxing Ductile Iron Pipe Company is planning invest up to $2 billion in Egypt’s Suez Canal Economic Zone (SCZONE) to establish a production plant for cast iron pipes and steel products.
The plant would be built over an area of 1.7 million square metres in TEDA Suez (China-Egypt TEDA Suez Economic and Trade Cooperation Zone), which is located within SCZONE in Ain Sokhna, a press statement issued by SCZONE and Egyptian Cabinet said.
The project, with an annual production value worth $2.6 billion, is expected to create 2,100 jobs.
The cast iron production facility will be set up during Phase 1 at a total investment of $150 million. It would be built over an area of 250,000 sqm with annual production capacity of 250,000 tonnes, production value of about $1.2 billion per year and employ 616 workers, the statement noted.
The steel products plant would be built during Phase 2 at a total investment of about $1.8 billion. The export-oriented project, spread over an area of 1.45 million sqm, will have a production capacity of 2 million tonnes annually, employ 1,500 people and have an annual production value of about $1.4 billion.
Developed within the Belt and Road Initiative framework, TEDA Suez, located within the Suez Canal Economic Zone (SCZone), is a joint venture funded by Tianjin TEDA Investment Holding Co., and the China-Africa Development Fund.
(Writing by Eman Hamed; Editing by Anoop Menon)