What happened with Egypt’s brake pads industry? Because recently many people from Egypt contact me for the cooperation of building up a brake pads factory there. They said the Egyptian government will restrict brake pads import in 3-5 years.
Egypt has a growing automotive industry, and with it comes the need for brake pads. Previously, most brake pads used in Egypt were imported from other countries. However, in recent years, there has been a push by the Egyptian government to develop a domestic brake pads industry to reduce reliance on imports and boost the economy.
In 2019, Egypt’s Ministry of Industry and Trade announced plans to invest in the production of brake pads and other automotive components. The aim was to create a local manufacturing base for the automotive industry and reduce imports. The government also introduced new regulations to ensure that brake pads imported into the country meet certain safety standards.
the Egyptian government has undertaken to promote local production of automotive components, including brake pads:
Investment in automotive parks: The government has established several automotive parks in different regions of Egypt to provide infrastructure, utilities, and services for investors in the automotive industry. The parks are designed to attract local and foreign investment in the sector.
Tax incentives and subsidies: The government offers tax incentives and subsidies to automotive companies that invest in Egypt. These incentives include exemption from customs duties and taxes on imported machinery, equipment, and raw materials, as well as reduced corporate income tax rates for qualifying companies.
Training and education: The government has invested in training and education programs to develop the skills of the local workforce in the automotive industry. This includes vocational training programs and partnerships with universities to provide specialized education in automotive engineering and technology.
Quality and safety standards: The government has established regulations and standards for the quality and safety of automotive components, including brake pads. These regulations aim to ensure that locally produced components meet international standards and are competitive in the global market.
Research and development: The government has established partnerships with academic institutions and research centers to support research and development in the automotive industry. This includes funding for research projects and support for innovation and technology transfer.
These initiatives are part of the government’s broader efforts to promote local production and reduce imports in different sectors of the economy.
Post time: Mar-12-2023