SCZone signs agreement with Chinese company for RMG factory

The Suez Canal Economic Zone (SCZone) has entered into a land usufruct agreement with a leading Chinese textile and garment company Jiangsu Guotai, to set up a ready-made garment (RMG) factory in the Qantara West Industrial Zone.

The new facility, covering 21,000 square metres, represents an investment of $10 million (EGP 500 million) and is expected to create 2,000 direct jobs. The factory will focus exclusively on exports, further strengthening Egypt’s role in the global textile supply chain.

During the signing ceremony, SCZone Chairman Walid Gamal El-Din highlighted that 15 usufruct agreements have been concluded in the Qantara West area, attracting total investments of $490 million. These projects, covering 1.031 million square metres, are anticipated to create over 20,000 jobs, as per Egyptian media reports.

With 80 per cent of its production earmarked for European and American markets through West Port Said Port, a vital SCZone hub on the Mediterranean, the region is set to become a major exporter. As new industrial projects in Qantara West progress, the port is expected to experience a surge in activities.

SCZone has recently laid the foundation stone for five new projects, with additional developments in the pipeline. The first two factories in Qantara West are slated to open in the second half of 2025.