Industry Minister: Alloys complementary industry under Egypt’s industrial strategy

Egypt's Industry Minister, Khaled Hashem, emphasized the strategic importance of the alloys industry within the country's broader industrial development plan during a visit to the Abu Zenima Industrial Zone in South Sinai on Sunday, August 16, 2026. Speaking during his first official visit to the zone, Hashem highlighted the critical role played by the silicon-manganese and ferromanganese alloys produced by Sinai Manganese Company in both domestic and international markets. These alloys contribute significantly to improving the quality of finished goods by eliminating impurities, enhancing steel purity, and bolstering mechanical characteristics such as hardness, corrosion resistance, and durability. The minister noted that growing demands from Egypt's and the world's engineering and construction sectors have increased the need for these specialized materials. This trend has reinforced Sinai Manganese's position in promoting local production, decreasing reliance on imports, and cutting down the cost of production inputs. The Ministry of Industry is actively engaged in developing supporting industries for the iron and steel sector, aiming to incorporate them into regional and global supply chains. This effort seeks to elevate the value of Egyptian products, enhance their competitiveness, deepen local manufacturing capabilities, and open up new export avenues. During his visit, Hashem met with South Sinai Governor Ismail Kamal and Saad Abu El-Maati, the chairman of the Chemical Industries Holding Company. He was joined by Assistant Minister of Industry for Strategic Industries Mohamed Zada, Hussein El Ghazawy, the minister’s energy adviser, and other officials from the ministry, the holding company, and Sinai Manganese. The meeting underscored the collaborative efforts among government bodies and private enterprises to foster industrial growth in the region. Sinai Manganese operates on a sprawling 23,500-square-meter site with total investments amounting to EGP 2.5 billion and a capital base of EGP 300 million. Currently, the facility produces 18,000 tons of alloys annually, with an ambitious goal of reaching 50,000 tons by the end of 2028. Approximately 60% of the production process utilizes locally sourced materials, reflecting a strong commitment to leveraging domestic resources. Around 49% of the output is exported to countries including Türkiye, Libya, and Italy, showcasing the international appeal of the products manufactured there. The ministry is also focused on developing the infrastructure and services within the Abu Zenima Industrial Zone. Efforts include upgrading utilities, identifying suitable industries aligned with the area's resource profile, and ensuring a skilled labor force is available for upcoming factories. These initiatives aim to create a conducive environment for industrial expansion and innovation in the region. The visit by the Industry Minister highlights the government's prioritization of industrial diversification and self-sufficiency. By focusing on high-value-added sectors like alloys, Egypt aims to reduce dependency on imported materials and strengthen its position in global trade networks. The success of projects like Sinai Manganese could serve as a model for similar developments across the country, contributing to economic resilience and sustainable growth.