General Motors is betting on Cairo to become the industrial heartbeat of North Africa as it transitions from a domestic manufacturer into a powerful continental exporter. This strategic pivot was recently solidified by the company’s achievement of a millionth vehicle milestone at its 6th of October City plant, a feat that underscores over forty years of local industrial presence. With investments exceeding 530 million dollars since 1983, the American automotive giant is now leveraging Egypt’s unique geographic position and established supplier ecosystem to serve as a central node for production across the Middle East and Africa. This move signals a shift from purely serving the local market to establishing a regional manufacturing hub that can compete on a global scale.
The core of this new era arrived in early January 2026 with the official launch of the Chevrolet Captiva EV and the Spark EUV. These models represent the brand’s first fully electric entries into the Egyptian market, developed through a long-standing partnership with Al-Mansour Automotive. The Captiva EV is positioned as a family-oriented SUV featuring a 415-kilometre range and intelligent safety systems, priced at approximately EGP 1,299,000. In contrast, the Spark EUV serves as an entry-point for younger drivers and first-time owners, priced more competitively at EGP 899,000. While these initial units are currently imported, the launch is a calculated test of consumer appetite, supported by an eight-year battery warranty and extensive roadside assistance programmes managed by Mohamed Mansour’s group to ensure long-term reliability.
The roles within this initiative are clearly defined: General Motors provides the technological architecture and global engineering standards, while Al-Mansour Automotive manages the intricate distribution network and after-sales infrastructure. This collaboration is essential for navigating the complexities of the Egyptian market, where the government is actively incentivising a “Green Transition” through reduced import duties and subsidies. The strategy reflects a broader commitment to localisation, with certain conventional models already achieving over 60 per cent local component integration. As the supply chain matures, the objective is to replicate this success with electric platforms, aiming for a 45 per cent localisation rate for EVs by 2026 to reduce reliance on foreign currency and imported parts.
Market expectations for this transition are ambitious but grounded in current infrastructure developments. Projections suggest that the market share for electric vehicles could rise from a negligible 0.1 per cent to between 5 and 6 per cent in the near term, driven by the rollout of 3,000 government-backed charging stations. This growth is mirrored in the latest EV market forecast, which anticipates a significant compound annual growth rate through 2030. The economic incentive for consumers is clear, as charging costs are currently estimated to be over 10 per cent lower than traditional fuel, providing a hedge against the price volatility of internal combustion engines.
When compared to other regional hubs, Egypt’s execution is moving at a pace that matches the continent’s most aggressive adopters. While Kenya and South Africa have focused on light commercial vehicles and buses, the Egyptian strategy is uniquely focused on high-volume passenger SUVs and compact city cars. This move marks the shift from experimental “white paper” strategies to active fleet-scale deployments. The challenge remains the readiness of local suppliers to pivot from mechanical components to high-tech battery and sensor arrays, but the sheer scale of GM’s existing footprint provides a stable foundation for this technological leap.
Ultimately, the realisation of this hub vision depends on Egypt’s ability to maintain economic stability and provide sustained export incentives. The presence of a billion-dollar tire factory in the Suez Canal Economic Zone and the clearance of bureaucratic hurdles suggest a favourable environment for growth. As competitors from China also look to establish local assembly lines, the race is on to see which manufacturer can most effectively integrate cognitive driving features and sustainable energy into the Egyptian lifestyle. Should the government meet its infrastructure targets, the transition to 30 per cent EV market penetration by 2030 could transform Cairo into the premier automotive gateway for the entire region.
