Seven Turkish companies plan $150 million manufacturing push in Egypt

Seven factories proposed for the Suez Canal zone

Seven Turkish companies are preparing plans to establish manufacturing operations in Egypt with combined investment of $150 million, according to Turkish business publication Patronlar Dünyası. The proposed factories would be located in the Suez Canal Economic Zone and concentrate mainly on yarn, weaving, garment production and automotive spare parts.

The companies have begun discussions but have not yet been identified because the process remains under way. Hamada Al-Ajwani, vice-president and honorary president of the Turkish-Egyptian Businessmen Association, said the investors were preparing to approach the relevant authorities for industrial land and complete the procedures required to establish the projects. They aim to begin submitting applications to the Egyptian government within two to three months.

Land allocations and project details remain pending

The scale and specifications of individual factories have not been disclosed. Their final details, including the plots allocated to investors, are expected to become clear after the formal procedures are completed. This means the $150 million program remains at the planning and application stage rather than representing factories already under construction.

Al-Ajwani said the projects were concentrated in industries where Egypt offers competitive advantages and opportunities for growth. He identified yarn and weaving, garment manufacturing and automotive spare parts as sectors with scope to expand in the domestic market and increase exports. The location in the Suez Canal Economic Zone also places the proposed production within one of Egypt’s principal industrial and logistics hubs.

Turkish investment base exceeds $3 billion

The seven projects would build on a substantial Turkish corporate presence in Egypt. According to Patronlar Dünyası, Turkish companies have invested more than $3 billion in the country, particularly in textiles but also in industries ranging from home appliances to tourism. Those investments have created employment for 200,000 people. The crisis in the Strait of Hormuz has reportedly slowed the movement of Turkish investment to Egypt but has not stopped it.

Al-Ajwani linked the expected increase in investment to improving economic relations between Cairo and Ankara and growing cooperation between companies in industrial and manufacturing sectors. The two governments want to raise bilateral trade from approximately $9 billion to $15 billion by 2028, according to the latest official statements cited by Patronlar Dünyası. Recent bilateral talks have also produced an agreement to strengthen cooperation in energy, mining, transport and automotive activities, while the defense industry has entered the agenda.

Egypt’s role as a manufacturing platform

The planned factories illustrate how Turkish producers are evaluating Egypt both as a domestic market and as a base for export-oriented manufacturing. Textile companies account for much of the established investment relationship, and the new proposals would extend that cluster through yarn, weaving and clothing capacity. Automotive spare-parts production would broaden the sector mix and support the expanding industrial relationship between the two countries.

The next milestones will be the companies’ applications, land allocations and completion of official procedures. Until those steps are concluded, the precise capacity, construction schedules and expected employment of the seven factories remain undetermined. For manufacturers, suppliers and traders, those disclosures will determine how much new output the $150 million program can add and which local and export markets it is designed to serve.