As the world wrestles with ways to combat global warming and its related challenges, Egypt and China have reaffirmed their commitment towards a clean ecological system. On June 18, Egypt’s El Nasr Automotive Manufacturing Company signed an agreement with China’s Dongfeng Motor to jointly produce electric cars in Egypt.
According to almonitor.com, the ‘unprecedented’ agreement will allow the long-shuttered El Nasr Company to produce about 25,000 electric cars annually. Until 2009, the automobile company, which was founded in 1960 by former president Gamal Abdel Nasser, could only produce eight Fiat cars per day.
Benjamin Cavender, director at Shanghai China market research group told reporters that, “Chinese automakers will find great opportunity in Africa where countries are seeking investment to revive economic growth on the back of the COVID-19 pandemic.” The move is expected to enable China to embark on global expansion in the Chinese market and bring job opportunities to Egyptians. Producing electric vehicles invariably also demands that Egypt constructs enough charging stations as well as local demand for electric vehicles. Egypt’s agreement with China follows recent trends in China-Africa relations during COVID-19 to develop manufacturing plants in Africa with Chinese processes and investment. Observers say that such agreements could help balance China-Africa trade by creating jobs in African countries while allowing Africans to access relatively cheaper commodities.
A good move but we wait to see how Egypt will benefit from the deal to the maximum.