Cairo: Prime Minister Mostafa Madbouly on Sunday, September 13, 2026, witnessed the signing of a contract to establish a plant producing various types of electric batteries within the frame of a partnership between Egyptian battery maker BME and China's Contemporary Amperex Technology Co. Limited (CATL), the world's largest electric battery manufacturer.
According to State Information Service Egypt, the contract was signed by Chairman of BME Maged Wahib and Luo Director of international investment at CATL Luo Haining, in the presence of Minister of Industry Khaled Hashem, MBA/PMP - Sr. IT Project Manager Amin Karim Ghabbour, and BME board member Lotfy Tadros. BME was established by Egyptian transport manufacturer MCV and Auto D for Industry, Trade and Supplies. The new plant aims to establish a specialized industrial base for battery systems in Egypt, initially producing batteries for heavy commercial vehicles, with plans to expand into passenger-car batteries and energy-storage solutions.
The project is intended to serve the growing transport and energy sectors and support manufacturing and exports. The plant's first phase will have an annual production capacity of 1 gigawatt-hour, with initial investments exceeding 2 billion Egyptian pounds (approximately $39 million). The second phase will raise capacity to 5 gigawatt-hours annually and include production of passenger-car batteries as well as batteries for storing solar and wind energy. The project targets a local component ratio of 40% and is expected to supply both domestic and international markets, while creating jobs and developing technical skills for Egypt's workforce.
The partnership combines Egyptian manufacturing and engineering capabilities with CATL's battery technology, production equipment, and technical support. The plant will supply locally manufactured battery systems to vehicle manufacturers in Egypt, reducing reliance on imports and associated shipping and logistics costs.
Speaking at the signing ceremony, Madbouly welcomed the agreement with CATL, saying the company was one of the leading global players in the battery industry and had extensive expertise and capabilities. He said the government expected work on the project to begin quickly and that it would take the necessary steps to support the development and localization of battery manufacturing in Egypt.
The minister of Industry said the plant represented an important step towards developing Egypt's domestic battery manufacturing capacity as the global shift towards electric vehicles and energy-storage solutions accelerates. Hashem said automotive component industries were a cornerstone of Egypt's national program to develop the automotive industry and were key to attracting global carmakers. He also said the agreement with the world's largest electric battery manufacturer demonstrated the ability of Egypt's industrial sector to meet international manufacturing requirements and produce competitive, high-quality products.
Project manager Amin Karim Ghabbour said the agreement was part of government efforts to deepen local manufacturing, localize modern industries and technologies, and strengthen Egypt's capabilities in producing automotive components, especially for electric vehicles and battery systems. He said the partnership with CATL would combine advanced global battery technology with Egyptian industrial and engineering capabilities, supporting technology and knowledge transfer and the development of a local supply chain. Ghabbour further added that BME aimed not only to produce battery systems for heavy commercial vehicles but also to establish the foundations for an integrated battery industry that could eventually expand into passenger-car batteries and energy-storage solutions. The expansion, he said, would create new opportunities for investment, manufacturing, and exports and support Egypt's efforts to become a regional hub for emerging industries.