A new $50 million energy storage system assembly factory by China’s leading renewable energy firm Sungrow Power Supply Co., Ltd. has officially broken ground in the Sokhna Industrial Zone of Egypt’s Suez Canal Economic Zone (SCZONE). Located within the TEDA-Egypt industrial developer zone, the project marks a major step forward in Egypt’s drive to localize renewable energy manufacturing and will create over 100 local jobs focusing on Egyptian manufacturing and technical staff.
The foundation-stone ceremony gathered key Egyptian government officials, including Minister of Electricity and Renewable Energy Mahmoud Esmat, Minister of State for Military Production Salah Gomblat, Industry Minister Khaled Hashem, and Suez Governor Hany Rashed, alongside senior SCZONE authorities, TEDA-Egypt representatives and Sungrow’s management team.
Recognized as a global pioneer in renewable energy technology, Sungrow was founded in 1997 and is headquartered in Hefei, Anhui Province. The company specializes in the research, development and production of solar PV inverters, energy storage systems, wind power converters and green hydrogen production solutions, holding a leading global market position in core renewable energy equipment sectors.
Egyptian officials highlighted the project’s far-reaching strategic significance. SCZONE Chairman Mostafa Shikhoun stated that the Sungrow facility complements Egypt’s fast-growing renewable energy industry and advances the localization of energy storage production. He noted the project demonstrates strong international investor confidence in SCZONE’s superior infrastructure, strategic geographic location and integrated industrial-port layout, while embodying deepening Sino-Egyptian economic and investment cooperation and TEDA-Egypt’s role in attracting high-value industrial projects.
Egypt’s Electricity Minister Mahmoud Esmat affirmed the factory aligns with the nation’s core strategy to localize renewable energy equipment manufacturing, boost domestic production capacity and accelerate modern technology transfer. The project will help Egypt build a comprehensive renewable energy industrial system and consolidate its status as a regional hub for clean energy equipment production and export. It also supports the country’s goal of raising renewable energy’s share in the power mix, cutting reliance on traditional fossil fuels and enhancing the national power grid’s capacity to integrate renewable power generation.
Industry Minister Khaled Hashem hailed the project as a new milestone for Egypt’s clean energy industrial development and bilateral industrial cooperation with China. As the first specialized energy storage systems manufacturing plant across the Middle East and Africa (MENA), it will stabilize Egypt’s national electricity grid and effectively accommodate growing renewable energy penetration via advanced energy storage technologies. Energy storage systems are critical for Egypt’s expanding solar and wind power sectors, enabling the storage of intermittent renewable power for peak demand periods.
Minister of State for Military Production Salah Gomblat added that the ministry’s participation underscores Egypt’s commitment to advancing a green economy and clean energy-related industries. Cooperation with world-class enterprises like Sungrow will empower Egypt’s industrial upgrading and unlock new export opportunities for local clean energy products.
Thomson Meng, Vice President of Sungrow, expressed gratitude to the Egyptian government and relevant authorities for the strong support. He stated the new factory will build an integrated clean energy platform that combines cutting-edge Chinese technology with local Egyptian industrial capabilities. Tied to Egypt’s key renewable energy initiatives including Scatec’s Green Energy project, the facility will strengthen the integration of renewable power generation and energy storage solutions.
