Egypt’s SCZONE signs agreements worth US $ 100 million with Chinese firms for textile projects

During an investment promotion tour in China, Egypt’s SCZONE (Suez Canal Economic Zone) has inked agreements exceeding US $ 100 million with Chinese textile and garment manufacturers. These agreements were sealed by SCZONE Chairman Waleid Gamal El-Dien and representatives of the Chinese companies.

One of the key agreements involves a Usufruct deal with Zhejiang Hengsheng Dyeing Company, intending to establish a dyeing, processing, and textile manufacturing project spanning 200,000 square meters with an investment of US $ 70 million.

Additionally, a Letter of Intent (LOI) agreement was signed with Shaoxing Yuding Textile Company to create a factory covering 12,700 square meters, with a US $ 5 million investment. This facility will export 90 per cent of its production to American and European markets.

The third agreement was made with Shengzhou Captain Industrial & Trading Co., aiming to set up a project for manufacturing spandex, polyester, and elastic yarns across 12,000 square meters, with a total investment of US $ 5 million.

Another LOI agreement was formed with Hangzhou-based apparel and fashion company Indochine Holdings to establish a factory covering 65,000 square meters, with a total investment of approximately US $ 21.30 million. The factory’s output will be exported to American and European markets.

Gamal El-Dien emphasised that these agreements signify a new avenue for Chinese investments in clothing and textile industries within the Middle East region.

It’s important to note that Chinese investments in SCZONE’s Sokhna Integrated Industrial Zone currently exceed US $ 2 billion.

Source: https://apparelresources.com/