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Electricity Minister visits XD-EGEMAC to promote industry localization, boost Egyptian-Chinese cooperation
Published in Daily News Egypt on 11 - 06 - 2025

Minister of Electricity and Renewable Energy Mahmoud Esmat has conducted a field visit to XD-EGEMAC High Voltage Electrical Equipment Company in the Northwest Gulf of Suez region, as part of ongoing efforts to support local industry, localise advanced technologies, increase the share of locally produced components, and expand domestic manufacturing capacity in the electrical equipment sector.
XD-EGEMAC is a flagship example of Egyptian-Chinese cooperation, established through a partnership between Egypt's EGEMAC (Egyptian-German Electrical Manufacturing Company) and China's XD Group.
The minister's visit aimed to follow up on operational performance, assess the company's actual manufacturing output, evaluate local content ratios, examine the domestic and international market reach of its products, and review expansion plans and new production lines—all in line with the ministry's strategy and the national vision to strengthen local industry and deepen technological localisation.
During the visit, Esmat received a comprehensive briefing on the company's strategy, production processes, product market share, and current and projected local component ratios. The presentation underscored XD-EGEMAC's role in advancing Egypt's industrial base and leveraging state support for technology transfer and innovation.
Discussions focused on the company's growing contribution to the localisation of high-voltage electrical equipment manufacturing, its efforts to reduce dependence on imports, and its ambitious expansion plans with Chinese partners. These include constructing new factories, launching additional production lines, and diversifying its product portfolio.
The minister also reviewed the company's sales and marketing strategies and its involvement in major national development projects, notably its contribution to the "Decent Life" initiative. He praised its plans to further increase local content and tap into regional markets by capitalising on Egypt's strategic trade partnerships.
Esmat toured XD-EGEMAC's key production facilities, including those dedicated to transformers, gas-insulated switchgear, circuit breakers, insulator units, and transformer bushings. The tour also covered substation assembly and testing units, as well as departments responsible for energy project design and construction, infrastructure maintenance, testing, technical training, R&D, quality assurance, and safety.
The minister observed close cooperation between Egyptian and Chinese teams and ongoing initiatives to enhance domestic production capabilities. He stressed the importance of increasing reliance on locally sourced materials and further raising local content ratios, reaffirming the government's commitment to supporting domestic industrial development.
Esmat described XD-EGEMAC as a successful model of Egyptian-Chinese partnership in the energy sector and highlighted plans to introduce new production lines that would maximise infrastructure investments and boost export capacity to Africa and the Middle East.
He emphasised the strategic role of the electricity sector in national development and the importance of localising advanced technologies. He also noted XD-EGEMAC's strong potential for growth and market leadership in Egypt and across Africa, calling for enhanced training, knowledge transfer, and greater integration of local components into the company's operations.


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