Egypt’s Minister of Industry and Transport Kamel Al-Wazir has held an extensive meeting with leading steel producers and representatives from automotive and bus manufacturing and assembly companies, as part of the state’s strategy to promote local manufacturing and deepen production chains. The Monday discussions focused on exploring practical mechanisms to localize automotive sheet metal production in Egypt.
Al-Wazir underlined the government’s firm commitment to supporting the iron and steel sector, given its critical role in sustaining key industries—particularly the automotive industry. He stressed that localizing automotive sheet metal production is currently a top priority, as it would significantly reduce import costs, increase the proportion of local content, and enhance the competitiveness of Egyptian products in domestic and global markets.
The Minister explained that the ministry is developing an integrated strategy based on two main pillars. The first pillar aims to ensure a sustainable legislative and incentive framework, alongside clear implementation plans to support long-term industrial investment. The second focuses on identifying vehicle components that can realistically be manufactured locally, supported by skilled human resources and defined timelines.
Al-Wazir noted that the ministry will continue close coordination with all relevant parties—including private sector stakeholders and government institutions—to ensure the efficient and timely execution of this national initiative.
He emphasised that localizing automotive sheet metal production is not only a critical step in reducing imports but also serves as a launchpad for broader efforts to expand local manufacturing of vehicle components. This will pave the way for new industrial partnerships aligned with Egypt’s economic development goals.
The Minister highlighted that the domestic market has solid demand that could underpin the establishment of various feeder industries. He pointed out that Egypt already produces some automotive components that are exported to international markets, reflecting the competitiveness and quality of local manufacturing.
Al-Wazir also identified promising opportunities to localize additional key components—including tires, glass, and sheet metal—and affirmed that the ministry is working to capture these opportunities by fostering effective public-private partnerships and creating a supportive environment for sustainable industrial investment.
During the meeting, participants reviewed the perspectives of major steel producers on the feasibility of supplying sheet metal tailored to the design and structural needs of different vehicle types. Discussions also addressed production methods for exterior sheet metal, relevant design standards, and technical specifications.
The meeting further examined the strategy and estimated production volumes needed to align with the state’s broader plan to localize the automotive industry.
Al-Wazir announced plans to hold a larger follow-up meeting with vehicle manufacturers and feeder industries to deepen technical discussions. The goal is to ensure that local sheet metal production matches the specifications required by automotive manufacturers. He called for closer coordination between steel producers, car assembly firms, and component manufacturers to integrate supply chains and advance the localization process in line with the national vision.
The Minister concluded by stating that localizing automotive sheet metal production represents a qualitative step toward increasing local content and improving the effectiveness of the incentives offered to the automotive sector. This move is expected to boost the sector’s regional and international competitiveness by reducing reliance on imports, improving supply chain stability, and enhancing investor confidence in Egypt’s industrial landscape—all of which support manufacturers’ capacity to meet production and export targets.
