Africa's Largest Tire Base! Sailun Egypt Phase II Launches

Recently, PowerChina Sichuan Engineering Co., Ltd. announced that it successfully won the bid for the Phase II civil engineering project of Sailun Egypt factory, marking that the Phase II project of this large-scale tire manufacturing base located in the Suez Canal Economic Zone has officially entered the implementation stage, adding new achievements for Chinese enterprises participating in the "Belt and Road" overseas industrial infrastructure.

Core Workshop Construction Starts First

According to bid information, the construction scope this time includes the heavy-duty tire mixing workshop and raw material warehouse civil engineering. Construction content covers earthwork excavation, foundation treatment, equipment foundation, and upper main structure construction.

The heavy-duty tire mixing workshop is a core process workshop for tire manufacturing, with strict technical standards for foundation settlement control and structural construction accuracy, directly testing the industrial workshop construction level and overseas project comprehensive performance capability of the construction unit. PowerChina Sichuan Engineering stated that the project team will strictly adhere to safety control, strictly control engineering quality, and make every effort to guarantee high-quality project performance.

It is worth mentioning that this company is a long-term strategic partner of Sailun Group, and has previously cooperated to build projects such as Phase I and II thermal power plants in Cambodia, Phase III mixing workshop in Cambodia, etc.

Total Investment for Three Phases 11.5 Billion Yuan

Sailun Egypt factory is located in the Teda Industrial Park in Suez Governorate, Egypt, with a total investment of approximately 1.717 billion US dollars (approximately 11.5 billion RMB), promoted in three phases:

Phase I: Investment 291 million US dollars, planned annual production of 3.6 million radial tires;

Phase II: Investment 285.43 million US dollars, planned annual production of 7.05 million radial tires (6 million passenger car tires + 1.05 million heavy-duty tires), construction period 18 months;

Phase III: Investment 1.141 billion US dollars, planned annual production of 27 million passenger car tires, 1.65 million heavy-duty tires, and 20,000 tons of off-road tires.

After Phase III is fully completed, Sailun Egypt base will form a comprehensive capacity of 36 million passenger car tires, 3.3 million heavy-duty tires, and 20,000 tons of off-road tires annually, becoming the largest tire production base locally in Egypt.

Another Move in Global Capacity Matrix

From a locational perspective, Egypt is at the intersection of Europe, Asia, and Africa. Relying on the Suez Canal, a global shipping hub, it can radiate to European, African, and Middle Eastern markets nearby. This base coordinates with Sailun Vietnam, Cambodia, Mexico, and Indonesia factories, jointly building a global tire capacity layout.

As the Chinese tire enterprise with the largest overseas production capacity, Sailun's global layout effectiveness has been reflected in performance. In the first half of 2026, the company achieved operating revenue of 20.027 billion RMB, up 13.88% year-on-year; net profit attributable to parent company of 2.160 billion RMB, up 17.97% year-on-year; overseas market revenue 15.242 billion RMB, accounting for about 76% of main business revenue.

With the full launch of Egypt Phase II project, Sailun's "close to end markets, multi-base coordination" global industrial layout will be further solidified, providing a new model for Chinese tire industry chains to "go global."