BME and CATL sign agreement to build electric-battery plant in Egypt with $39 million investment
Egyptian manufacturer BME and Chinese firm CATL have signed a contract to establish a battery factory in Egypt. The initial investment exceeds $39 million, targeting eventual annual production capacity of 5 gigawatt-hours.
BME and Contemporary Amperex Technology Co. Ltd. (CATL) signed a joint venture agreement to build an electric-battery manufacturing facility in Egypt. The project involves an investment of more than 2 billion Egyptian pounds, which equates to $39 million. Prime Minister Mostafa Madbouly witnessed the contract signing, which took place between Maged Wahib, chairman of BME, and Luo Haining, CATL's director of international investment.
The facility will start with an initial annual production capacity of 1 gigawatt-hour. Output for the first phase will focus on batteries for heavy commercial vehicles. A second phase is planned to expand operations to passenger-vehicle batteries and energy-storage systems for solar and wind power. The combined total capacity aims for 5 gigawatt-hours per year, with a target local-content ratio of 40 percent.
This partnership supports Egypt's National Industrial Strategy 2026-2030, which identifies automotive manufacturing among seven priority sectors. The goal is to develop the country's electric-vehicle industry and expand local manufacturing capabilities.
