CAIRO — Chinese investors have proposed a $2 billion logistics and international trade city in Egypt’s Suez Canal Economic Zone, according to a statement from Egyptian Cabinet, as part of expanding bilateral industrial and trade cooperation.
The project, presented during a meeting with Deputy Prime Minister for Economic Affairs Hussein Eissa, is modelled on China’s Yiwu International Trade City—one of the world’s largest wholesale markets for small commodities. The proposed development would span approximately three million square metres, featuring exhibition hubs for Chinese products across multiple sectors.
According to cabinet spokesman Mohamed El-Homsani, the project would include commercial showrooms, a five-star hotel, an international school, and a hospital, and is expected to generate up to 150,000 jobs.
The proposal forms part of a broader package of Chinese-led investments, including a $400 million container terminal at Ain Sokhna, to be developed by Jiangsu Provincial Port Group and Shanghai Huanshi Express Logistics. Additional plans include a 100,000 square metre industrial zone led by Hurricane Group, focusing on chemicals, consumer goods, and smart logistics systems.
China remains one of Egypt’s largest investment partners, with total investments exceeding $8 billion and more than 2,800 companies operating across sectors including energy, textiles, and manufacturing, according to Hassan El-Khatib. Bilateral trade between the two countries surpassed $16 billion in 2024.
As The Middle East Observer notes, the proposed development reflects Egypt’s strategy to position itself as a regional trade and distribution hub, while also signalling China’s deepening role in building export-oriented logistics and industrial platforms along the Suez corridor. This push is being reinforced by parallel investments in residential developments around Ain Sokhna, upgraded road networks, and expanding wind energy capacity, pointing to a broader, integrated approach aimed at transforming the area into a fully functional industrial and logistics city ecosystem.
