Elsewedy Electric, the Cairo-based multinational cable and electrical equipment manufacturer led by the Egyptian billionaire El-Sewedy family, is exploring an entry into vehicle manufacturing in Algeria, with plans for a factory producing electric and hybrid cars under the Ezz Elsewedy brand.

The proposed factory would mark a potential expansion beyond Elsewedy Electric’s established electrical equipment business into Algeria’s developing automotive industry.

Elsewedy targets local automotive manufacturing

The Egyptian electric cable company submitted a feasibility study to Algeria’s Prime Minister’s Office for review, outlining a proposed facility that would manufacture vehicles while sourcing between 50% and 60% of their components locally. Mostafa Awad El-Helwany, general manager of Elsewedy Electric Algeria, disclosed the proposal on the sidelines of the NAPEC 2026 energy conference in Oran.

The proposed lineup includes a fully electric vehicle and a hybrid model powered approximately 80% by electricity and 20% by gasoline. The group plans to import key engineering components from Germany and China while manufacturing between 50% and 60% of vehicle components locally, excluding the engine.

The localization strategy could support Algeria’s domestic industrial base while reducing reliance on imported components. The company has yet to disclose the proposed factory’s location, production capacity, project-specific investment cost or expected start date. The initiative falls under a broader $1.3 billion investment programme announced in Algeria in May 2026.

Algeria expansion drives industrial investment

The vehicle project forms part of Elsewedy Electric’s wider expansion in Algeria. In September 2025, the group signed a memorandum of understanding with the Algerian Investment Promotion Agency, outlining potential investments of up to $2.5 billion, including plans for 10 factories.

Its separate $1.3 billion programme covers manufacturing activities spanning aluminium, copper and plastics, alongside proposed investments in housing, tourism and agriculture.

Elsewedy Electric has operated in Algeria for more than 15 years and holds approximately 45% of the country’s electrical equipment market, according to local data.

During 2026, the company began operating three additional production units manufacturing data cables, electrical insulation materials and dry-type transformers. Local inputs account for up to approximately 80% of production at these facilities, including Algerian steel.

The group has also sought approval for a steel products factory and seven specialised industrial units covering pipes, PVC resin, fibre-optic cables, centre-pivot irrigation systems and electrical transformers.

Government approval remains key milestone

Founded in 1938, Elsewedy Electric has evolved into a leading provider of energy, digital, and infrastructure solutions across the Middle East and North Africa. Under the billionaire El-Sewedy family, the company has expanded globally, strengthening its market position.

Elsewedy Electric’s proposed automotive investment comes as Algeria seeks to develop domestic vehicle manufacturing following years of shifting policies on imports and vehicle assembly.

The immediate priority is government approval of the feasibility study.

Details on the factory’s location, capacity, investment requirements and construction timeline will determine whether the proposal advances into implementation. Until those details emerge, the Ezz Elsewedy vehicle factory remains a proposed investment rather than an operational manufacturing project.