Egypt breaks ground on landmark $150M solar panel manufacturing project in SCZone

CAIRO – 16 December 2024: The Suez Canal Economic Zone (SCZone) has taken a significant step towards advancing renewable energy by laying the foundation stone for a solar panel manufacturing facility in the Chinese industrial zone in Ain Sokhna.

 The project, led by Chinese Elite Solar Company, will feature a production line covering 78,000 square meters, with an investment exceeding $150 million.

The facility will produce photovoltaic cells with a capacity of 2 GW and an additional production line for components with a capacity of 3 GW.

Walid Gamal El-Din, Chairman of SCZone, described the project as a groundbreaking development in the collaboration between SCZone and the Chinese TEDA Zone.

As Egypt’s first solar panel manufacturing project, it aims to localize production, cater to domestic demand, and support export initiatives.

 This milestone comes shortly after the signing of agreements to manufacture essential glass and aluminum components used in solar panels.

Gamal El-Din emphasized the alignment of this project with Egypt’s renewable energy strategy, which targets increasing renewable energy’s contribution to electricity production to 42 percent by 2030.

He added that SCZone is positioning itself as a global hub for producing and exporting green hydrogen, with this project bolstering its competitiveness in solar panel manufacturing for local and international markets.

The chairman highlighted that Egypt’s solar energy requirements could surpass 50 GW In the near future, creating opportunities to scale up production capacity.

He also noted that Chinese investments represent 40 percent of foreign direct investments in the SCZone over the last 30 months.

In September, SCZone officials signed nine agreements during a visit to China, amounting to $1.1 billion, further solidifying the region’s role as a magnet for international investment.

This initiative underscores Egypt’s commitment to sustainability and renewable energy while enhancing its industrial infrastructure and global market presence.