China’s Xingfa Chemicals Group has unveiled plans to invest up to $2 billion in a large-scale, three-phase industrial project in Egypt’s Golden Triangle Economic Zone (GTEZ), focusing on integrated phosphate extraction and high-value chemical manufacturing.

During a meeting on January 22, Karim Badawi, Minister of Petroleum and Mineral Resources (MoPMR), discussed the proposal with a delegation led by Yali Cheng, President at Hubei Xingfa Chemicals Group. Badawi attributed the significance of the project to its alignment with the Ministry’s strategy to revitalize the mining sector by shifting from raw ore exports to value-added industries.

He reaffirmed the Ministry’s full support for attracting technically advanced global firms to maximize the economic return of Egypt’s mineral wealth.

Xingfa, recognized as one of the world’s largest producers of phosphorus chemicals, expressed a strong interest in entering the Egyptian market to localize special chemical industries.

President Cheng Yali praised the tangible improvements in the country’s investment climate and the attractive incentives offered to international partners.

The meeting follows a record year for the sector in 2025, which saw several major agreements signed for phosphate complexes in Abu Tartour, the Ain Sokhna Economic Zone, and Upper Egypt.

To move forward, both sides agreed to continue technical coordination and exchange feasibility studies to finalize a memorandum of understanding (MoU).

Xingfa Chemicals Group is a leading global producer of phosphorus-based materials, and its interest in Egypt leverages the country’s position as home to the world’s second-largest phosphate reserves, estimated at 2.8 billion metric tons.