Schneider Electric increases investments in Egypt with an additional €8m in 2023
كتب : محمود حاحا _ بوابة الاقتصاد
Riez: We are committed to our people and growing portfolio of assets in Egypt, our continuous investments are a testament
_ Schneider Electric, the leader in the digital transformation of energy management and automation, has announced plans to increase its investments in the local market by an additional €8 million throughout 2023. This move is part of the company’s strategy to enhance its operations in Egypt geared toward achieving sustainable development and accelerating digital transformation across various sectors. The additional investments include the expansion of the Badr factory, the biggest of its kind in the region, and the new production lines covering a total area of 10,000 sqm. The new investment is an extension of Schneider Electric’s long-term strategy for the local market, which saw a total of €30 million in 2020; €10 million were used to add a production line for manufacturing electricity distribution panels, while €20 million were allocated for capital increase and other investments.
In an effort to localize manufacturing and increase the percentage of local components, which currently stands at 40-60% for all low and medium-voltage products manufactured at the factory, Schneider Electric has initiated expansion plans for its flagship Badr factory. These products are utilized in various sectors, with over 30% of the factory’s production exported. Achieving another milestone in 2023, the portfolio of countries to which the factory exports its products significantly grew from 14 countries last year to more than 30 countries worldwide, including the UAE, KSA, Morocco, Tunisia, Alegria, Kenya, and Senegal, among others.
Commenting on the company’s robust expansion plan and new investments, Sebastien Riez, Cluster President of Schneider Electric Northeast Africa, and Levant, said: “Egypt has significant economic potential in the energy sector and is a key market in the region. We are fully committed to supporting sustainable development in Egypt through our investments in infrastructure and industry. These new investments demonstrate our commitment and confidence in the Egyptian market. Our growth-oriented investment plan aims to expand our network of partners from the public and private sectors and participate in more projects that ensure energy efficiency and sustainability across different industries, including smart buildings and cities, water treatment, the industrial sector, and others. We seek to increase the local component in our products to meet local and regional export demands in line with the Government’s 2030 vision.”
Egypt is a key market for Schneider Electric in the Middle East and Africa. With a long history of success in the local market, the company launched its operations in Egypt in 1987 and has invested €300 million over the course of 35 years. In addition to the Badr factory, Schneider Electric owns several assets in Egypt, including the Distribution Center in the 10th of Ramadan City and the Engineering Excellence Center.
Schneider Electric aims to strengthen its footprint and role in more strategic projects focused on achieving energy efficiency and sustainability in different industries. Its portfolio of successful projects includes the partnership with the Ministry of Electricity and Renewable Energy to renovate and digitize the national distribution grid, supplying electricity distribution systems to the Benban solar plant – the largest of its kind in the world, involvement in the Jabal Al-Zait wind farms, providing electrical solutions to Al Hammam wastewater treatment plant in New Delta project, and delivering electrical maintenance and automation solutions for the Suez Canal Tunnels. The company has also established multiple partnerships with the private sector in real estate, industrial, and commercial sectors.
