Saudi Arabia's Waja Company to Establish Electric Vehicle Manufacturing Facility in Egypt

Waja Company, a Saudi firm, partners with Egypt's AOI to establish an EV manufacturing plant, positioning Egypt as a regional hub and aligning with Saudi's goal of 30% EVs in Riyadh by 2030.

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Hadeel Hashem
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Saudi Arabia's Waja Company to Establish Electric Vehicle Manufacturing Facility in Egypt

Saudi Arabia's Waja Company to Establish Electric Vehicle Manufacturing Facility in Egypt

Waja Company, a Saudi Arabian firm, has signed a framework cooperation agreement with the Arab Organisation for Industrialisation (AOI) to establish a joint venture in Egypt for the production and manufacturing of electric vehicles.

The new facility, set to be operational in 2024, aims to cater to both the Egyptian domestic market and enable exports.

The agreement between Waja Company and AOI seeks to meet the growing demand for electric vehicles in Egypt while also positioning the country as a manufacturing hub for the export market. Egypt was recently ranked 28th in a global e-mobility index, indicating its readiness to transition to electric vehicles, according to a report by Egypt Today citing a US consulting firm.

The Middle East and Africa automotive electric vehicle market is projected to expand significantly, from $3.33 billion in 2024 to $9.42 billion by 2029. This growth is driven by government efforts to promote eco-friendly vehicles and raise awareness about energy storage solutions. The global electric vehicle market is also projected to grow by 27.1% in 2024, reaching 17.5 million units.

Why this matters: The establishment of an electric vehicle manufacturing facility in Egypt by Saudi Arabia's Waja Company constitutes a notable step towards the region's transition to sustainable transportation. This move aligns with the global trend of promoting eco-friendly vehicles and reducing carbon emissions.

Saudi Arabia has set an ambitious goal to transition 30% of all vehicles in Riyadh to electric by 2030 as part of its strategy to reduce emissions and achieve carbon neutrality by 2060. The joint venture between Waja Company and AOI is anticipated to contribute to this goal while also fostering economic cooperation between Saudi Arabia and Egypt in the rapidly growing electric vehicle sector.

The Capital Market Authority and Saudi Exchange have stated that they take no responsibility for the contents of this disclosure and have not verified its accuracy or completeness. Waja Company has also announced its annual financial results for the period ending on December 31, 2023, and details regarding the appointment of the Chairman, Vice-Chairman, Secretary of the Board, formation of committees, and appointment of the Authority in the new session of the Board.

Key Takeaways

  • Waja Company and AOI to establish an EV plant in Egypt by 2024 for domestic and export markets.
  • Egypt ranked 28th in global e-mobility index, indicating readiness for EV transition.
  • The Middle East and Africa EV market projected to grow from $3.33B in 2024 to $9.42B by 2029.
  • Saudi Arabia aims to transition 30% of Riyadh vehicles to EVs by 2030 for carbon neutrality.
  • Waja Company announces 2023 financial results and board changes.