China’s Zenith to set up $300m tyre component plant in Egypt

China’s Zenith Group will invest $300 million in a car tyre component manufacturing plant in Egypt.

The manufacturing facility, part of Cairo’s initiatives to expand its industrial sector, will be located on a 320,000 square metre plot of land in the Suez Canal Economic Zone.

It will have an annual production capacity of 120,000 tonnes of steel cord for car tyres and 50,000 tonnes of tyre-rim wire, the Egyptian cabinet said in a statement.

Almost 30 percent of the production will be exported across the Middle East, Europe and America.

Walid Gamal El-Din, chairman of the General Authority for the Suez Canal Economic Zone, said the project will create about 1,000 direct jobs and support Egypt’s ability to become a regional hub for exporting components for advanced engineering industries.

Last month, China National Tire and Rubber Corporation (CNTR), a subsidiary of state-owned Sinochem Holdings, announced plans to invest $550 million to build a new tyre manufacturing project in Egypt.

CNTR is a controlling shareholder of Milan-listed Pirelli and Shanghai-listed Aeolus Tire. It has 24 plants in 13 countries and a sales network in more than 160 countries.

In April, China’s Shandong Linglong Tyre One announced plans to invest nearly $2 billion in building a car and heavy-truck tyre factory in Egypt for export to the Gulf and the US.

Cairo signed a deal with China’s Sailun Group in August 2025 to build a $1 billion automotive tyre factory in the Suez Canal Economic Zone.

Further reading:

• Elsewedy Electric to invest $200m in Egypt’s industrial sector
• Chinese tyre company commits to building $550m factory in Egypt
• China’s Rox Motor signs deal to build cars in Egypt