Chinese firm to fund $1B major chemical complex in Egypt

China's Kunming Chuan Jin Nuo Chemical Co., Ltd. (CJN) signed an agreement on Thursday with Egypt's El Sewedy Industrial Development to build a major integrated phosphate chemical industrial complex in the Suez Canal Economic Zone (SCZone) east of Cairo.

The Chinese company will invest 1 billion U.S. dollars in the project, which will cover 905,000 square meters in the Sokhna Industrial Zone within the SCZone, and create about 10,000 jobs, according to an Egyptian government statement.

The complex will be constructed in three phases. The first phase, starting in 2026, will produce phosphoric acid and fertilizers. The second phase will introduce high-purity specialized phosphate chemicals, while the third will expand into new energy battery materials, said the statement.

Egyptian Prime Minister Mostafa Madbouly, who attended the signing ceremony, praised the project as a milestone for attracting large-scale industrial investment. SCZone Chairman Waleid Gamal El-Dein said it helps localize specialized industries in Egypt.

CJN Egypt CEO Huang Qiuhan cited Egypt's logistics, phosphate reserves, and competitive environment as key reasons for the investment.