Egypt is pursuing an ambitious plan to transform itself into a global industrial powerhouse, targeting industrial exports of $100 billion by 2030 through a comprehensive strategy focused on technology transfer, local manufacturing, renewable energy, and workforce development.
The vision was outlined by Egypt’s Minister of Industry, Eng. Khaled Hashem, during a high-level panel discussion titled “Egypt’s Experience in Increasing Productivity and Deepening Local Manufacturing” held on the sidelines of the 35th Annual Meeting and Business Forum of the European Bank for Reconstruction and Development (EBRD) in Riga.
The session brought together senior government officials, international investors, and development partners, including Egypt’s Ambassador to Sweden and Latvia, Naglaa Naguib, EBRD Managing Director for the Southern and Eastern Mediterranean Region Mark Davis, Valu CEO Walid Hassouna, and Alcazar Energy Partners Co-Founder and Managing Director Daniel Calderon.
Speaking at the event, Hashem revealed that the Ministry of Industry has recently updated Egypt’s Industrial Development Strategy 2030, placing greater emphasis on attracting foreign investment linked to technology transfer and industrial expertise rather than capital inflows alone.
The strategy aims to move Egypt beyond a traditional import-substitution model toward deeper integration into global supply chains and international production networks.
As part of the roadmap, the government has identified seven priority industrial sectors that will serve as the foundation for Egypt’s industrial expansion and export growth.
These sectors include ready-made garments, textiles and spinning, food processing, pharmaceuticals, automotive manufacturing, electrical and engineering industries, and electronics assembly, alongside a range of strategic and enabling industries designed to strengthen domestic industrial capabilities.
“Our objective is to position Egypt as a regional manufacturing hub capable of competing in global markets and achieving industrial exports worth $100 billion by the end of the decade,” Hashem said.
The minister identified energy security as one of the government's most urgent priorities amid ongoing global concerns over energy supply disruptions.
According to Hashem, the ministry’s energy strategy is built around three core pillars: securing energy supplies, improving industrial energy efficiency, and reducing carbon emissions.
A central component of the plan is the newly launched “Solar Industry” initiative, which seeks to deploy 1,000 megawatts of solar power capacity for industrial facilities over the next two years.
The government is also promoting broader adoption of renewable energy solutions within industrial zones and encouraging energy-efficiency programs through specialized energy services companies that help manufacturers optimize consumption and reduce operating costs.
In parallel, Egypt is working to prepare domestic industries for compliance with the European Union’s Carbon Border Adjustment Mechanism (CBAM), a move aimed at protecting and expanding Egyptian exports to European markets.
Responding to questions about Egypt’s continued reliance on imported industrial equipment, Hashem emphasized that machinery and equipment manufacturing has been designated as one of the country’s most important enabling industries.
He disclosed that recent discussions with German officials focused on attracting global machinery manufacturers to establish operations in Egypt, both to meet domestic demand and to serve regional export markets.
The ministry is particularly targeting partnerships with German small and medium-sized enterprises that could leverage Egypt’s strategic location, industrial infrastructure, and trade agreements to expand their international footprint.
Hashem argued that Egypt has become one of the region’s most attractive destinations for foreign direct investment due to its combination of modern infrastructure, investment-friendly legislation, skilled labor, extensive trade agreements, and competitive manufacturing costs.
Beyond attracting foreign investors, the minister also unveiled plans to mobilize domestic capital through new investment funds designed to channel household savings into industrial and technology ventures.
The first of these investment vehicles is expected to launch in September and will allow Egyptian citizens to invest directly in established and high-growth industrial companies, helping finance expansion and increase production capacity.
“We want to encourage Egyptian investors to participate directly in industry, technology, and innovation while strengthening the role of private capital in industrial development,” Hashem said.
Recognizing that workforce development is critical to achieving industrial ambitions, the minister announced plans for a new vocational training center that will deliver internationally accredited programs aimed at improving the quality of technical education graduates.
The initiative forms part of one of the six core pillars underpinning Egypt’s Industrial Development Strategy 2030.
The program will focus on language proficiency, communication skills, emerging technologies, and specialized technical training while expanding practical factory-based learning opportunities.
Graduates will receive internationally recognized certifications and benefit from direct links to both local and multinational employers.
Officials believe the initiative will help bridge the widening gap between industrial demand for skilled workers and the availability of qualified labor, strengthening Egypt’s competitiveness as it seeks to emerge as a leading global manufacturing destination.
With an ambitious export target, a growing focus on renewable energy, and a renewed emphasis on technology-driven industrialization, Egypt is positioning itself for a new phase of manufacturing-led economic growth that policymakers hope will elevate the country into the ranks of the world’s leading industrial economies.
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