Xin Fengming to invest $280m in Egyptian functional fiber project

Xin Fengming Group will hold its eighth extraordinary general meeting of shareholders on December 29, 2025, to approve the launch of a 360,000 tons/year functional fiber project in Egypt. The project, with a total investment of $280 million, aims to establish POY, FDY, and DTY manufacturing facilities on 360 acres of land in the China-Egypt TEDA Suez Economic and Trade Cooperation Zone. This strategic move is expected to boost the company's international influence, market competitiveness, and address trade barriers.

The project is estimated to have a construction period of two years, with official operations commencing by December 2027. Financial projections indicate a post-tax internal rate of return of 13.11% and a payback period of 8.10 years, demonstrating strong profitability. Funding will comprise $140 million in self-raised capital and $139.72 million in debt financing.

Upon completion, the project is expected to generate annual sales revenue of $445.259 million and a total annual profit of $41.581 million during normal operation years. The initiative aligns with China's "Belt and Road" policy, aiming to utilize advanced Chinese technology and equipment, thereby strengthening Sino-Egyptian economic relations and filling a gap in Egypt's polyester spinning capacity.