Rechi, the Taiwanese manufacturer, is to build an air-conditioning compressor factory in cooperation with the El-Araby Group, with a total investment of $33 million with a production capacity of 6 million compressors annually, with operations expected to start in 2024 according to Egypt’s Ministry of Trade and Industry statement.
The minister said that the new project will be built in the industrial zone of Kom Abu Radi in Beni Suef on an area of 60,000 square meters, noting that the project’s initial production volume is 2 million units to be scaled up to 6 million units within 5 years.
He added that the project aims to meet the needs of the local market and export 50% of the production to regional and international markets. In addition to that, the factory will produce an air-conditioning compressor with a capacity of 1.5 to 3 horsepower with 50% of the components being sourced within Egypt with plans to gradually increase.
Mohamed Mahmoud El-Araby, CEO of El-Araby Group, stated that negotiations are currently underway with the Rechi to set up a number of projects in Egypt, in the fields of producing refrigerators and air conditioners, noting that El-Araby Group will soon open a new factory to produce antimony tin oxide, which is used as an input in the production of home appliances.
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