Xinyi Glass Plans $700 Million Investment in Egypt’s Solar Panel Glass Production
Xinyi Glass plans to invest $700 million in a solar panel glass facility in Egypt’s Suez Canal Economic Zone, producing 1.5 million tonnes of glass and 1.1 million tonnes of silica sand annually. The project is supported by the Egyptian government to localize solar manufacturing, aligning with efforts to expand renewable energy initiatives and attract investments through tax reductions and land offerings.
Xinyi Glass, a prominent Chinese glass manufacturer, has announced a significant investment of $700 million to establish a solar panel glass production facility in Egypt’s Suez Canal Economic Zone. This investment will be executed in two phases, with the facility set to produce 1.5 million tonnes of solar panel glass and 1.1 million tonnes of high-purity silica sand each year, primarily for export to both regional and global markets.
To support this initiative, Egyptian Prime Minister Moustafa Madbouly has instructed government agencies to accelerate infrastructure development that is vital for the project. Xinyi Glass is currently engaged in securing the necessary regulatory approvals prior to beginning construction on the facility.
This venture is aligned with Egypt’s overall strategy to enhance domestic manufacturing of solar power components. The Egyptian government has identified solar cells as one of the twelve strategic products earmarked for domestic production as of October 2024.
In tandem with the solar panel glass project, Egypt’s Electricity and Renewable Energy Minister, Mahmoud Esmat, indicated a robust plan to develop an impressive 7,150 megawatts of renewable energy projects. Partnerships with entities such as UAE-based Masdar, Egypt’s Abydos, and Norway’s Scatec are notable examples of growing collaboration in the sector.
To encourage further investments in renewable energy, the Egyptian government is offering land for project development in exchange for a 2% share of annual electricity production. Furthermore, customs duties on renewable energy components and spare parts have been reduced from 5% to 2%, alongside a significant decrease in the value-added tax from 14% to 5%.
Xinyi Glass’s $700 million investment in a solar panel glass manufacturing facility in Egypt signifies a pivotal advancement in the country’s renewable energy sector. With government support to expedite infrastructure and regulatory approvals, the initiative aims to bolster domestic production of solar components and enhances Egypt’s strategy toward expanding renewable energy projects. The incentives provided by the government further underline the country’s commitment to attracting foreign investments.
Original Source: solarquarter.com
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