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English news

18-Feb-2018

Trade and Industry Ministry to amend components of automotive directive

The Ministry of Trade and Industry is looking to amend some components of the automotive directive concerning the minimum requirements of domestic contents necessary to benefit from tax incentives, before sending the draft back to the House of Representatives for review and a final vote. The news came following complaints from key parties, including car importers and the EU, claiming that the law, which gives incentives to local car manufactures, violates the terms of Egypt’s free trade agreement with the EU. The law initially proposed giving incentives to local car manufacturers if they meet a minimum local component requirement of 45%, which would rise gradually to 60% over the course of eight years.


 

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