Cairo: Minister of Industry Khaled Hashem discussed with a delegation from Mercedes-Benz Egypt, led by CEO Thomas Waggershauser, plans to expand automotive manufacturing in Egypt, increase local production and explore exports to neighboring markets as part of the state's strategy to deepen local manufacturing and position Egypt as a regional automotive hub.

According to State Information Service Egypt, during the meeting, Hashem said the government has introduced a package of incentives to support the National Automotive Industry Development Program. This program is aimed at attracting global manufacturers capable of producing at least 100,000 vehicles annually while expanding the local supplier base. The goal is to strengthen domestic value chains, attract further investment, increase electric vehicle production, and boost exports of Egyptian-made vehicles to regional markets.

The Minister emphasized that the program offers cash incentives linked to higher local content and value added, alongside investment, environmental, and tax incentives, as well as export incentives designed to enhance the competitiveness of Egypt's automotive industry.

The meeting reviewed Mercedes-Benz Egypt's current manufacturing operations, noting the company's plant in 6th of October City, which produces around 5,000 vehicles annually with a local content ratio of 45 percent. Hashem highlighted that Mercedes-Benz has a long-standing presence in the Egyptian market and urged the company to expand production, increase local content and value added, and develop its local supplier network to further deepen domestic manufacturing and strengthen supply chains.

For his part, Waggershauser reaffirmed the company's commitment to expanding its operations in Egypt in the coming period and strengthening its dealer network. He described the Egyptian market as one of the company's most strategic markets in the region.