CAIRO, Egypt—Rolling Plus Chemical Industries Co., a new business unit of Egypt's Concrete Plus construction enterprise, has disclosed plans to invest up to $1 billion in a new tire factory in Egypt's Suez Canal Economic Zone.
The investors envision a factory capable of manufacturing up to 7 million tires a year, covering passenger, light truck and heavy truck, according to information provided by Black Donuts Engineering Inc., the Finnish engineering concern that's a partner in the project.
The project's backers foresee a three-phase construction schedule.
Phase One: Construction and commissioning of a factory with annual capacity for 2.5 million passenger tires and representing an investment of $400 million to $450 million. That amount of output would cover half of Egypt's domestic tire demands.
Phase Two: Adding production lines for light commercial vehicles, with an annual capacity of 3.5 million tires, addressing 40 percent of the domestic market.
Phase Three: Adding production lines for about 1 million heavy commercial vehicles.
A timeline for the project was not disclosed. The factory will span 400,000 square feet once finished.