Egypt has finalized a $220 million agreement to establish a large-scale solar and energy storage manufacturing complex in the Suez Canal Economic Zone, in partnership with investors from the UAE, China, and Bahrain. The deal, signed under the “Atom Solar Egypt” initiative, was witnessed by Prime Minister Mostafa Madbouly, as reported by Daily News Egypt.
The facility, to be developed over three years on a 200,000-square-meter site in Sokhna, will include factories with capacity for 2 GW of solar cells, 2 GW of panels, and 1 GWh of energy storage systems, while generating more than 800 direct jobs, Daily News Egypt detailed.
Project stakeholders include China’s JA Solar as the technical investor, alongside Global South Utilities (UAE), Infinity Capital (Bahrain), and AH Industrial Management (Egypt) as lead developers. All solar cells produced will be dedicated for export, while the panels will target both Egypt’s domestic demand and regional markets, the same outlet noted.
Analysts suggest the project strengthens Egypt’s positioning as a regional renewable energy hub, while also boosting foreign exchange earnings through exports. The plan to use locally sourced inputs such as aluminum and glass could also enhance domestic supply chains and industrial growth, as highlighted in coverage of the deal.