Turkish Garment Giant Establishes Presence in Egypt, Suez Canal Economic Zone Adds $560 Million Investment

Recently, Egypt's Suez Canal Economic Zone (SCZONE) formally signed an investment agreement with the renowned Turkish garment manufacturer Eroglu Fashion Textile, marking the official entry of this international textile industry giant into the Qantara West Industrial Zone.

According to the agreement, Eroglu will invest $560 million (approximately 4 billion RMB) to establish an advanced ready-made garment production base in the Qantara West Industrial Zone located along the canal. This project represents one of the largest foreign direct investments in Egypt's textile and apparel sector in recent years.

The production base will focus on manufacturing various high-end ready-made garment products and plans to integrate the entire industrial chain from fabric processing to finished clothing. The project is expected to create over 12,000 direct jobs and stimulate the development of related supporting industries. Walid Gamal El-Din, Chairman of SCZONE, stated that this investment fully demonstrates international companies' confidence in Egypt's manufacturing competitiveness and the strategic location of the economic zone.

The Qantara West Industrial Zone, leveraging its unique proximity to the Suez Canal, well-developed road networks, and port facilities, is becoming a crucial hub for international manufacturing enterprises to position themselves in the Middle East, Africa, and European markets. In recent years, the Egyptian government has continuously improved the investment environment through measures such as tax incentives, energy subsidies, and customs facilitation, successfully attracting numerous multinational manufacturing companies to the economic zone.

Analysts point out that this investment will further strengthen Egypt's position in the global textile supply chain. It also represents a significant strategic move by Turkish companies to utilize Egypt's free trade agreement network to expand into international markets. The project is expected to commence operations in 2025, bringing substantial foreign exchange earnings and industrial upgrading momentum to Egypt.