South Africa has moved to deepen its strategic diplomatic and economic ties with Egypt with the launch of a Joint South Africa-Egypt Business Council, unveiled on the margins of the Alamein-Africa Business Forum on Friday.
The Department of Trade, Industry and Competition said the launch marks a historic moment for bilateral relations and for the African Continental Free Trade Area, as Pretoria positions Egypt as its gateway into North Africa, the Middle East and the Horn of Africa.
“South Africa has today elevated its trade and economic relations with Egypt by launching the Joint South Africa-Egypt Business Council,” the dtic said in a statement.
Egypt is South Africa’s largest export market in North Africa and a strategic partner on the continent, with a population of over 102 million, a GDP of $362-billion, and one of Africa’s most diversified and dynamic economies.
The move comes as bilateral trade shows strong growth. According to Statistics South Africa, direct bilateral trade increased by 26% from R3.4-billion in 2024 to R4.3-billion in 2025, while South Africa’s exports to Egypt grew by 21% from R1.3-billion to R1.6-billion over the same period. South Africa had a trade deficit with Egypt between 2021 and 2025, but Pretoria is now ranked as Egypt’s 46th export destination and 58th source of imports in 2025.
“There are solid opportunities for South African companies in the medium-to-long term and a platform for commercial activities in the Middle East and the Horn of Africa,” the dtic said.
The launch was formalised at the Africa Automotive Investment Forum, held on the margins of the inaugural Alamein Africa Forum under the theme “Unlocking Africa’s Automotive Industry Potential under the AfCFTA.”
The forum was hosted by Egypt’s Minister of Investment and Foreign Trade, Dr Mohamed Farid Saleh, in collaboration with Afreximbank and the African Association of Automotive Manufacturers, and attended by AfCFTA Secretary-General Wamkele Mene.
The dtic, led by Minister Parks Tau, participated in the forum as part of efforts to position South Africa as a key manufacturing and investment anchor within an emerging continental automotive value chain.
“The outcome of this relationship results in deepening bilateral trade and investment by creating practical commercial partnerships between South African and Egyptian companies, while using both countries as gateways into Southern, North and wider African markets,” the department said.
Key initiatives under the Joint Business Council include a Mining and Minerals Partnership, an Automotive and New-Energy Mobility Partnership, an Agriculture and Agro-processing Corridor, an Engineering and Infrastructure Partnership, a Renewable Energy and Green Industrial Platform, and an Africa Joint-Venture Investment Fund as a private-sector vehicle targeting companies capable of expanding beyond the two domestic markets.
The automotive sector is set to be a clear beneficiary. The three major opportunities for South African exports to Egypt have been identified as rubber tyres for motor cars, motorcycle parts and accessories, and vehicle seats, representing an import displacement opportunity of between R22.4-million and R44.8-million for South Africa.
“Today marks a historical moment for South Africa, Egypt, AfCFTA, AAAM and Afreximbank. Since the adoption of the Butterfly Strategy and the Industrial Development Strategy, we are seeing the increase of market access opportunities as envisaged by our accession to the AfCFTA,” the dtic said.
Tau held bilateral meetings with Tarek Mossad, President and CEO of Hyundai Motor Company Middle East and Africa and newly appointed President of AAAM, and with Minister Saleh. The dtic said investment facilitation discussions that began in June 2026 could now lead to a Complete Knocked Down investment in South Africa, with potential for job creation and economic growth.
The department further said collaboration and partnership were echoed as the key message of the day by high-level speakers including Mene, Egypt’s Minister of Industry Eng Khaled Hashem, Minister Saleh, Afreximbank Executive Vice-President Kanayo Awani, and AAAM President Tarek Mosaad.
