Arab Finance: Minister of Industry Khaled Hashem explored Schneider Electric’s current and future expansion plans in Egypt and discussed opportunities to increase local manufacturing, according to a statement.

In his meeting with Sebastian Rees, CEO of Schneider Electric for North Africa and the Levant, the minister reviewed the group’s manufacturing factory in Badr City, which boasts an 80% local component ratio. The facility exports around 50% of its production to over 35 countries and employs 650 workers.

Hashem reaffirmed the government’s commitment to supporting the company’s expansion plans by streamlining industrial procedures to enhance its production and meet the growing needs of the domestic market and for export.

The minister said expanding the use of clean and renewable energy is a strategic priority for lowering manufacturing costs and enhancing the global competitiveness of Egyptian products, noting that energy efficiency has become a key factor in international markets.

He also mentioned the possibility of the company participating in the Sun of Industry initiative, which aims in its first phase to install rooftop solar power systems with a combined capacity of 1,000 megawatts (MW) across 7,000 factories nationwide.

Schneider Electric could also leverage the Energy Service Company (ESCO) model, which reviews energy consumption rates and offers technical support to optimize energy use, thereby reducing operating costs and increasing efficiency.

For his part, Rees outlined the company’s strategic plans to grow business, increase production and sales, as well as deepen the local component of its products to 85% in the coming period.

The company will expand its portfolio to include digital transformation in energy management, automation, and sustainability.

Schneider Electric recently signed a partnership agreement with GIZ Egypt, on behalf of the German Federal Ministry of Economic Cooperation and Development (BMZ), to accelerate the growth of climate-tech startups in Egypt.