Simplex launches CNC machine factory in 10th of Ramadan City

ArabFinance: Simplex Industrial Solutions and Software, specialized in manufacturing computer numerical control (CNC) machines, launched a new CNC machine factory on an area of 5,000 sqm in the Industrial Zone of the 10th of Ramadan City, the company announced in a press conference.

Ahmed Shaaban, CEO of Simplex, said that CNC machines are used to facilitate manufacturing operations in various fields of industry by cutting, drilling, bending and piercing metallic and non-metallic materials such as wood and marble.

Shaaban added that the company has an ambitious plan to increase production rates of CNC machines with investments of EGP 100 million to meet the needs of the local market and export to neighboring countries.

“The company attaches great importance to expanding into new listed markets by taking advantage of international agreements with Egypt, in light of the customs regulations and clauses that stipulate exempting Egyptian products from collecting customs duties and allowing entry to them,” Shaaban pointed out.

He further noted that the company plans to expand into 15 countries over the coming three years. The company also aims to export from 35% to 40% of its production capacity for CNC numerical control machines manufactured locally.

The company’s CEO pointed out that the company is betting on external expansion while increasing the competitive factor with other markets and seeking to promote locally-made products in foreign markets. This is due to their lower prices compared to those imported from China, which are imported at high costs.

“The African markets represent promising investment opportunities for local manufacturers in the marketing of digital control machines, especially with the increase in demand for such equipment during the past year, which amounted to $2.2 billion, according to IDC,” Shaaban said.

Additionally, the company seeks to localize the CNC machine industry through joint cooperation also with some major industrial bodies and institutions in light of the expansion of local manufacturing projects and the possibility of creating new export opportunities, explaining that the last period witnessed discussions with the Arab Organization for Industrialization to exploit its production lines and work to manufacture some equipment to meet the requirements of the Egyptian market and export abroad.

In November, the company revealed its intention to establish a new factory for the production of CNC machines used in drilling work on metal and wood surfaces.

Established in 2013, Simplex Industrial Solutions and Software is Cairo based. The company offers industrial solutions to a wide variety of regional manufacturers spanning a number of industries. It mainly manufactures CNC router machines for the Egyptian market by combining quality components with a highly personalized pre- and post-sales experience.