Chinese textile giant Hengsheng invests $70mln in Qantara West factory

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Egypt - Walid Gamal El-Din, Chairperson of the General Authority for the Suez Canal Economic Zone, and Akram Galal, Governor of Ismailia, participated in the ceremony to lay the foundation stone for the Zhejiang Hengsheng Dyeing, Finishing & Printing Co. Ltd. project in the Qantara West Industrial Zone, affiliated with the authority.

The factory, with a total investment of $70m, will cover an area of 200,000 square meters across two phases, each spanning 100,000 square meters. It is expected to create approximately 1,500 direct jobs.

The event was attended by Chen Song Fu, Chairperson of Hengsheng, along with Vice Chairpeople from the Authority for the Northern Region and Investment Promotion, the Deputy Governor of Ismailia, representatives from the Chinese Embassy, several Chinese companies operating within the authority, a member of parliament for Qantara, and a commercial representative.

Gamal El-Din emphasized the economic zone’s commitment to attracting investments in targeted industrial sectors. Hengsheng’s textile and garments project marks the first in the Qantara West Industrial Zone. The economic zone aims to establish Qantara West as a hub for the textile and garment industry in Egypt. So far, 15 companies have expressed interest in investing, with six having signed final contracts, two in the finalization process, and seven completing procedures.

These projects are projected to create around 18,000 jobs, ensuring economic sustainability for the Qantara West “Abi Khalifa” area. The goal is to export 80% of their production to global markets, aligning with Egypt’s vision for enhanced exports.

Gamal El-Din attributed the economic zone’s success in attracting investments to effective promotional tours in various countries and significant infrastructure investments, particularly in Qantara West. These efforts include soil improvement and comprehensive utility works. The strategic location of this industrial area allows for production exports through the East and West Port Said ports in the north or the Ain Sokhna port in the south.

The Chairperson expressed gratitude to all entities supporting work in Qantara West, including the Ismailia Governorate, companies developing the area, executing infrastructure works, and investors like Hengsheng. The company’s project is scheduled to begin its first production phase in the first half of 2026.

Chen Song Fu, Chairperson of Hengsheng, expressed happiness at laying the foundation stone, appreciating the economic zone’s efforts to meet local market needs and provide globally competitive products. He highlighted the strategic relationship between Egypt and China and emphasised leveraging Hengsheng’s expertise in fabric dyeing, printing, and finishing.

Chen also noted the company’s reliance on trained Egyptian labour and aims to achieve annual sales of $300m.

Zhejiang Hengsheng Dyeing & Finishing Co. Ltd., established in 2000, is one of the largest textile dyeing and finishing companies in China. Its headquarters are in the National Textile City in Zhejiang Province. The company operates nine different factories under two companies in China, with supply contracts with several well-known local and international brands, including Ikea, Nike, Adidas, and Armani.