The Mediterranean monsoon swept over Alexandria, and an overseas base with digital printing as the pen and Asia Africa Europe hub as the paper was quietly settling down. Lanyu Co., Ltd. is building a factory across the sea, planting mature Chinese textile digital technology into the Egyptian industrial park, and upgrading its products to overseas production capacity and industry.

Project Overview

On the evening of July 29, 2026, Lanyu Corporation announced that it plans to establish a holding subsidiary in Egypt with investment from its wholly-owned subsidiaries, Lanwan Zhiyuan and Lanfa Co., Ltd., to implement the Alexander Chuanglian Textile Project, with a total investment of 35 million US dollars. Lan Yu invested a total of 24.5 million US dollars to hold 70% of the shares, while Hong Kong Hainuo Shi invested 10.5 million US dollars to hold 30% of the shares.

The project is located in the Alexander Province Industrial Park and plans to purchase 159200 square meters of industrial land. The base will build a digital printing production line and supporting facilities, with an annual output of 1.45 million square meters of digital printed fabrics and 10 million pieces of other textiles after reaching production capacity. The construction period is 12 to 18 months and is currently in the preparatory stage. The investment amount, land area, and production capacity scale clearly demonstrate the overall planning of the overseas base.

Investment Structure Dual line Investment Holding

Lanyu Corporation builds two investment channels to layout in Egypt. Blue Bay Zhiyuan invests through a Singapore platform through overseas direct investment, facilitating fund allocation and tax planning; Blue Hair Limited directly contributes. Both parties jointly hold 70% equity of the project company. Of the total investment of 35 million US dollars, 15 million US dollars are registered capital and 20 million US dollars are included in capital reserves. All relevant ODI filing and approval procedures for this overseas investment have been completed.

Seize opportunities in overseas markets

The company chose Egypt to build a factory with the aim of leveraging its hub location in Asia, Africa, and Europe, free trade policies, and cost advantages to establish overseas production bases and radiate to the European, American, Middle Eastern, and North African markets. Egyptian goods exported to the European Union enjoy zero tariffs, with significant advantages in labor and energy costs. The expected post tax internal rate of return for the project is about 23%. The current Egyptian textile industry is accelerating its development, and the digital printing track has ample growth potential. As a specialized and innovative small giant enterprise, Lanyu has landed overseas with mature digital printing technology. Keywords: the Belt and Road news, Egypt, production capacity going to sea

Relying on the opportunity of the Belt and Road cooperation, the project has become a typical case of the textile industry shifting from product export to production capacity overseas. A 35 million US dollar investment, 70% controlling stake, and cross regional market radiation outline Blue Universe's globalization strategy. The project integrates Chinese technology with local manufacturing in Egypt, not simply relocating production capacity, but upgrading from product export to industrial output. Egypt is becoming an important choice for textile companies to build factories overseas, and Lanyu's layout this time has industry benchmark significance.Editor/Gong Ziwei