This program falls within the framework of the national strategy for the automotive industry in Egypt. This program comes in light of the attention President Abdel Fattah El-Sisi has paid to the automotive industry, and his continued directives to develop and localize this promising industry, which is a key pillar of the economy. This will contribute to attracting investments and doubling the volume of exports, leveraging the potential and capabilities that contribute to the advancement of this important industry.
The new incentive program aims to build a strong, competitive industrial base for the automotive industry and its feeder industries in Egypt. The program aims to create an investment climate that localizes and deepens local manufacturing in the automotive industry, reduces imports, stimulates exports, and maximizes the benefits of international agreements.
It was noted that the new program seeks to increase local value-added to 60%, increase the targeted industrial component to over 35%, and increase annual production to 100,000 vehicles. It also aims to encourage the transition to environmentally friendly vehicles and establish factories in priority areas for development.
The new program offers additional benefits, particularly for exporting companies, providing them with incentives to encourage export, as well as additional incentives for companies that exceed the program's targets.