Cosco Shipping, one of the largest shipbuilders in China has signed an agreement with TEDA Corporation of Egypt to build a 130,000 square meters logistics zone in the Suez Canal Economic Zone.
Set in Ain Sokhna, the park aims to create 300 new jobs in Egypt while forwarding the Chinese government
's Bely and Road Initiative which aims to make China a major logistics provider internationally. The industrial park will include a textiles compound, a company manufacturing motorbikes and a large center for logistics.
The first phase of construction of the TEDA-Suez zone has already been completed and the General Authority of the Suez Canal Economic Zone has signed a contract worth $60 million with China Jushi
, a Chinese fiberglass manufacturer. As part of the agreement, the company will expand its already functioning factory in Ain Sokhna that was first put into operation in 2014.
China and Egypt have strong trade agreements with Egypt exporting
$660 million worth of goods and services to China in 2016 and importing $4.5 billion worth of goods and services from China. China has also previously given Egypt a grant of $25 million in 2013 according to Eqypt Today.