Egypt’s Mansour Group and Chinese battery manufacturer Tianneng Battery Group have signed a memorandum of understanding (MoU) to explore investment opportunities in battery manufacturing and energy storage solutions in Egypt, the Ministry of Investment and Foreign Trade said in a statement.

The proposed cooperation will explore producing lead-acid batteries for automobiles and lithium batteries for new-energy vehicles, according to the statement.

Mohamed Farid Saleh, Minister of Investment and Foreign Trade, witnessed the agreement, saying the project could support Egypt’s efforts to localize battery manufacturing and components used in new-energy vehicles.

Lithium batteries and new-energy vehicle components represent promising sectors for deepening local manufacturing and increasing value added, Saleh said, adding that the government aims to develop industries supporting new-energy vehicles and strengthen Egypt’s export capacity.

Tianneng Vice President and Head of International Business Eric Xu said the company is interested in working with Mansour Group and assessing investment opportunities in Egypt, citing the country’s market potential and strategic regional location.

The two companies are currently examining potential sites for the project, identifying the products to be manufactured locally and preparing a feasibility study, according to the ministry. No investment value, production capacity or implementation timeline has been announced.

The government is expected to support the companies during the feasibility stage by identifying suitable industrial sites and accelerating land allocation and preparation once the final location is selected.

In January 2026, Egypt signed a $200 million agreement with China’s Cornex New Energy to establish an energy-storage battery plant with an annual production capacity of 5,000 megawatt-hours. The project is intended to localize battery-cell manufacturing and transfer Chinese technology to Egypt.