SCZONE attracts global investors to make Egypt Africa’s business hub

For centuries, Egypt’s global image has been defined by its ancient monuments—the Pyramids of Giza, the Valley of the Kings, and the Nile, which gave life to one of the world’s oldest civilisations. But modern Egypt is writing a new story. Beyond its heritage and tourism economy, the country is steadily positioning itself as a hub for industry, logistics, and trade. At the heart of this shift lies the Suez Canal Economic Zone (SCZONE), a 455-kilometre industrial corridor that leverages Egypt’s unique geography and economic diplomacy to attract global investment.

The authority governing SCZONE, led by Chairman Waleid Gamal El-Dien, has made the zone a platform not just for industrial clustering but also for sustainable development and international partnerships. “SCZONE is not merely an industrial cluster, but a comprehensive development platform that places sustainability at the heart of its strategy,” Gamal El-Dien has said. That vision has translated into a series of high-profile investments and trade talks in recent months, giving a sense of the scale at which Egypt is reengineering its economy.

On August 27, the General Authority for SCZONE signed two new investment contracts in the Qantara West Industrial Zone.

SCZONE attracts fresh global investments
According to an official realise by SCZONE, the latest contract was signed with SUN GARDEN, a leading German company specialising in garden furniture, umbrellas, home textiles, and mattresses. The project will be established on an area of 30,000 square meters with total investments of $7 million (approximately EGP 340 million). It is expected to create 500 direct job opportunities, with 90% of its production dedicated to exports. The agreement was signed by Ewald Franz Kösters, Chairman of SUN GARDEN.

Talking about this deal, Gamal El-Dien stated, “This new investment by SUN GARDEN marks the first German industrial project in Qantara West Industrial Zone, and reflects the growing confidence of international investors in SCZONE’s investment climate. It adds significant value to our localisation and industrial integration strategy. The project also complements the existing ecosystem of textile and garment industries in Qantara West, adding a new component to the value chain of spinning, weaving, and ready-made garment projects already established. This integration strengthens the foundation for a competitive industrial base capable of serving both regional and international markets.”

He added, “With the signing of this agreement, the total number of operational projects in Qantara West Industrial Zone has now reached 37 projects, spanning diverse sectors over a cumulative area of 2,362,400 square meters, with total investments exceeding $1 billion, and providing more than 52,705 direct job opportunities. This milestone further consolidates Qantara West’s position as a leading hub for textiles, furnishings, and logistics, while reinforcing SCZONE’s role in supporting Egypt’s industrial development and sustainable growth.”

The SUN GARDEN project also joins other German investments in SCZONE, which include Siemens Energy in vocational training and power plant maintenance, Villeroy & Boch Egypt for sanitary ware and porcelain production, MAN Energy Solutions for combustion engine, turbine, and turbocharger repairs, and the Mercedes-Benz logistics center in Sokhna Industrial Zone, dedicated to transportation, distribution, and storage of vehicles through Sokhna Port.

On the same day, another contract was signed between SCZONE and TZANIDAKIS MIAXAH MARINOS Co (Murphy) of Greece to establish the “Mariniro” ready-made garments project in Qantara West Industrial Zone. Covering 7,000 square meters, the project will involve $4 million in investments (approximately EGP 200 million), create 1,000 direct job opportunities, and allocate 70% of its production for export. The agreement was signed by Marinos Tzanidakis, Chairman of Murphy, at SCZONE’s headquarters.

Gamal El-Dien commented, “We are proud of SCZONE’s success in attracting its first Greek industrial investment. This project represents a foundation for partnership and cooperation with Greece that can be leveraged and built upon, especially in light of the close relations between Egypt and Greece, as well as our geographical partnership in the Mediterranean Basin. The diversity of investments from various countries in the Qantara West zone demonstrates its success in transforming into a regional and even global hub for the textile and ready-made garments industry. I appreciate the impact of this success in providing job opportunities for Egyptians, supporting efforts to localise and deepen local industry, and boosting exports, in line with Egypt’s vision.”

He further added, “We must continue our efforts to attract more investments to the Qantara West Industrial Zone, given its important role in supporting the Egyptian economy.”

Logistics projects strengthen SCZONE’s global role
But, before these deals, the General Authority for the Suez Canal Economic Zone (SCZONE), signed a few series of new investment agreements across the textiles, garments, and logistics sectors between 25th and 26th August, consolidating the position of the Qantara West Industrial Zone as a growing hub for export-oriented manufacturing and integrated logistics.

On 25th August, at SCZONE’s headquarters in the New Administrative Capital, Gamal El-Dien and Major General Eng. Mokhtar Abdel Latif, Chairman of the Arab Organization for Industrialization (AOI), witnessed the signing ceremony of two logistics projects with an Egyptian–Turkish alliance comprising the Arab Organization for Industrialization, United Egy Group from Egypt, Sigma Logistics & Containers from Turkey, and Logi Trade from Turkey. The alliance will establish ‘SIGMA Egypt,’ a joint venture that will operate two customs-bonded yards for container storage, handling, repair, and value-added services.

The projects will cover a combined area of 100,000 square meters, split equally between Qantara West Industrial Zone and Sokhna Industrial Zone, with total investments amounting to $4.2 million (equivalent to EGP 203 million). Fully self-financed, the facilities are expected to provide around 100 direct job opportunities. The Qantara West agreement was signed by Admiral Mohamed Ahmed, Vice Chairman of SCZONE for the Northern Area, with Diaa El-Dien Ibrahim Khallaf, Chairman of United Egy Group and authorised signatory for the partners, while the Sokhna agreement was signed by Captain Ahmed Gamal, Vice Chairman of SCZONE for the Southern Area, with Khallaf representing the alliance.

Commenting on the agreement, Gamal El-Dien declared, “These two projects reflect the growing confidence of investors in SCZONE and highlight its pivotal role in attracting advanced logistics investments that serve regional and international trade. Establishing customs bonded container yards in Qantara West and Sokhna marks a qualitative leap in logistics integration within SCZONE, reducing supply chain costs, improving container handling efficiency, and creating new jobs. SCZONE is committed to reinforcing its position as a global hub for supply chains, manufacturing, and logistics services, in line with Egypt’s national strategy to become a leading logistics platform connecting the world’s continents.”

Latif added, “We highly value this fruitful cooperation with SCZONE, leading Turkish companies, and Egypt’s private sector. This cooperation and industrial integration in the container manufacturing project represent a strategic step with positive impacts on supporting the national industry and strengthening the Egyptian economy by reducing import dependency and adhering to global quality standards.”

Major Chinese and Turkish investments in textiles
On 26th August, SCZONE signed a major investment agreement with EVERFAR Textile Egypt LLC, a subsidiary of a leading Chinese industrial group specialising in textiles, ready-made garments, and garment accessories. The project will be developed within the Qantara West Industrial Zone on an area of 145,000 square meters, with investments totalling $130 million (approximately EGP 6.3 billion). It is expected to create more than 3,200 direct job opportunities, dedicating 100% of its production for export. The facility will function as an integrated manufacturing hub, producing over 7.5 million tonnes of processed fabrics, more than 20 million meters of garment fabric, 3.6 million garments, and large quantities of garment accessories. Equipped with state-of-the-art technologies, the project will adhere to global standards across all production lines. The agreement was signed by Lu Jiaosheng, the company’s legal representative.

Commenting on the deal, Gamal El-Dien said, “This new project by EVERFAR represents one of the largest textiles and garment manufacturing ventures signed within SCZONE. It strengthens Qantara West’s position as an attractive industrial platform for investors in this vital sector. The integrated production approach, from spinning and weaving to dyeing, finishing, and manufacturing, embodies the industrial integration model we strive for.” He added, “Dedicating the entire production for export reflects the confidence international investors place in SCZONE and aligns perfectly with our strategy to enhance export volumes and local added value. This project also strengthens regional supply chains and serves several global brands. With the signing of this agreement, the total number of contracted projects in Qantara West Industrial Zone now stands at 35, with cumulative investments reaching approximately $989.3 million, providing more than 51,205 direct job opportunities, on an area of 2,325,400 square meters. This milestone further reinforces SCZONE’s strategy of industrial integration and its commitment to economic development.”

Also on 26th August, SCZONE concluded another contract with Turkish company Nil Örme San. ve Tic. A.Ş for a textiles and garments manufacturing project in Qantara West Industrial Zone. The project carries an investment of $35 million, spans an area of 33,000 square meters, and is expected to create approximately 2,000 direct job opportunities, with 90% of production destined for export. The agreement was signed at SCZONE’s headquarters in the Administrative Capital by Veli Fatih Özersoy, Chairman of Nil Örme, in the presence of SCZONE leaders and company representatives.

On the sidelines of the ceremony, Waleid Gamal El-Dien stated, “SCZONE’s Qantara West Industrial Zone is an integrated regional hub for the textiles, ready-made garments, and accessories industry. To date, SCZONE has signed 34 contracts for projects in this zone, with total investments reaching $859.3 million over a total area of 2,180,400 square meters. These projects are set to provide more than 48,000 direct jobs.” He continued, “These projects target exporting the majority of their output to global markets, leveraging international trade agreements (FTAs) and SCZONE’s unique location as a link between continents. The effective integration between our industrial zones and affiliated ports demonstrates the success of our strategic approach in promoting export industries, deepening local manufacturing, and localising supply chains in the textile sector—from raw material manufacturing to producing various fabrics and ready-made garments for major international brands.”

The SCZONE Chairman further explained, “The availability of trained technical labour and diverse, competitively priced energy sources are key investment incentives, in addition to the world-class infrastructure ready in the Qantara West zone. SCZONE is intensifying its efforts to attract more investments in sectors targeted for localisation within our strategy, in line with the state’s objectives of deepening industry and boosting exports. We are also nearing the inauguration of several new projects in the Qantara West zone, including factories and infrastructure projects. Furthermore, I am pleased to announce SCZONE’s intention to conduct its first promotional tour to Turkey by the end of next September to attract further investments in targeted sectors.”

SCZONE at TICAD 9
SCZONE had a significant presence at the ninth Tokyo International Conference on African Development (TICAD 9) in Yokohama, Japan. The visit highlighted Egypt’s efforts to strengthen cooperation with Japanese institutions, African governments, and international companies in the fields of infrastructure, green energy, and investment promotion.

SCZONE’s programme included participation in high-level conferences and panels, bilateral meetings, and the signing of key cooperation agreements. At the Japan-Africa High-Quality Infrastructure Conference, organised by the Japanese Ministry of Land, Infrastructure, Transport and Tourism (MLIT), SCZONE presented Egypt’s strategy for infrastructure development, underlining the scale of investments in utilities, logistics, and ports. The authority positioned itself as a model of industrial and logistics integration, with world-class infrastructure designed to serve both regional and global trade.

Green hydrogen and renewable energy were central themes of the visit. SCZONE participated in a panel organised by JETRO on Africa’s hydrogen strategy, showcasing Egypt’s National Green Hydrogen Strategy and the progress made in developing green fuel production and bunkering capabilities at Sokhna and East Port Said ports. SCZONE highlighted its achievements in pioneering green ammonia exports and green fuel bunkering, reinforcing its ambition to establish itself as a leading global hub for clean energy industries.

On the sidelines of the conference, SCZONE chairman also held meetings with Japanese companies and financial institutions to explore partnerships in renewable energy, industrial development, and port services. Discussions with ACWA Power and ITOCHU focused on activating existing framework agreements for green energy projects and on establishing integrated ammonia bunkering facilities in collaboration with Orascom Construction.

Several agreements were signed during the visit. SCZONE concluded a Memorandum of Understanding with the Tokyo Metropolitan Government to advance cooperation in green hydrogen and clean energy applications, in the presence of Egyptian Prime Minister Mostafa Madbouly and Tokyo Governor Yuriko Koike. Further agreements were signed with ITOCHU and Orascom Construction for the development of ammonia bunkering facilities, supporting Egypt’s plan to reduce emissions in maritime transport. Meetings were also held with Sumitomo Corporation to discuss the establishment of a new industrial zone under the developer model and potential cooperation in infrastructure and green fuel projects.

Through its participation at TICAD 9, SCZONE reaffirmed its strategic role in advancing Egypt’s infrastructure, promoting investment opportunities, and localising green energy industries, while positioning itself as a key partner in Africa’s development agenda and a competitive hub for international trade and logistics.

Investments and trade talks drive SCZONE’s growth
In July and August 2025, the General Authority for SCZONE, advanced a series of strategic initiatives aimed at consolidating its role as a global industrial and logistics hub.

In July, SCZONE hosted Rita Herencsár, Ambassador of Hungary to Cairo, and Patrik Maruzs, Economic and Commercial Counsellor at the Hungarian Embassy, at its Sokhna headquarters. Discussions focused on strengthening bilateral economic ties and aligning with the Sustainable Development Goals through deeper cooperation with international partners. Later that month, Gamal El-Dien oversaw the signing of an investment contract with Egyptian firm CWA Company for a textile project within the Main Development Company’s area in the Sokhna Industrial Zone. Covering 15,000 square metres, the EGP 970 million ($19.9 million) self-financed project is scheduled to start production in the third quarter of 2026. It will initially create 200 direct jobs, with plans to expand to 500, and aims to achieve export revenues of $10–30 million within five years.

In August, SCZONE signed a contract with the Chinese firm Changzhou Ramada for a textile manufacturing plant in the West Qantara Industrial Zone. The $22.6 million investment spans 80,000 square metres and will generate 1,500 jobs. The facility will produce 5,000 tonnes of fabrics annually alongside 4 million bed linen sets and 1 million car carpet sets. This project forms part of SCZONE’s wider development of West Qantara as an integrated hub for textiles, garments, and accessories, where 32 projects with investments exceeding $822.2 million have already been secured, expected to create 45,600 jobs.

In parallel, SCZONE strengthened diplomatic ties, hosting Singapore’s Ambassador Dominic Goh in Cairo. Talks explored cooperation in industrial and logistics zones and potential adoption of Singapore Cooperation Enterprise’s smart port systems to enhance digital transformation across SCZONE’s six ports.