The Egyptian government is in advanced negotiations with MERMEC, an Italian group, to establish a factory in Egypt that will manufacture signaling components and European Train Control Systems Level 1 (ETCSL1). This move is part of Egypt’s broader effort to localize advanced railway technologies and reduce dependence on foreign imports, according to a statement from the Ministry of Industry and Transport.
The announcement was made during Vice Prime Minister for Industrial Development and Minister of Industry and Transport Kamel El-Wazir’s visit to Italy, where he held discussions with global leaders in railway and smart transportation. El-Wazir emphasized that the collaboration with MERMEC is designed to produce high-tech railway signaling and control systems domestically, positioning Egypt as a regional hub for railway technology manufacturing.
As part of the negotiations, El-Wazir reviewed the progress of an ongoing project aimed at enhancing signaling and communication systems along the “El-Ferdan/Bir El-Abd – Balouza/East Port Said” railway line, a project under a previous agreement between Egypt’s National Railways Authority and MERMEC. El-Wazir requested MERMEC to submit a financial proposal that outlines the share of local versus foreign components in the project. He also emphasized the project’s role in enhancing railway safety.
The “El-Ferdan – Bir El-Abd” railway line, which connects various governorates to East Port Said Port, is part of a key 500-kilometer logistics corridor running from “El-Ferdan – East Port Said – Bir El-Abd – Arish – Taba,” which is vital for the development of the “Arish-Taba” logistics corridor.
In addition to the discussions with MERMEC, El-Wazir also met with representatives from Talgo, a company involved in the planned Talgo Egypt train manufacturing facility in Kom Abu Radi. This factory will address domestic railway needs while also producing surplus trains for export. El-Wazir urged Talgo to explore further collaboration with Egypt’s SEMAF factory for ongoing train manufacturing projects.
Concluding his visit, El-Wazir engaged with executives from Italian Railways about a potential proposal to manage and operate Egypt’s high-speed electric rail network, demonstrating Egypt’s commitment to incorporating international expertise into its transport infrastructure development.