Chinese manufacturing giant East Hope Group has announced it is working with KIZAD, Abu Dhabi's industrial hub, on the feasibility of setting up a project worth more than $10 billion.
Under an agreement, the two entities are looking into a possible 15-year, three-phase plan to develop 7.6 square kilometres of land at KIZAD.
The agreement was signed by Samir Chaturvedi, CEO of KIZAD, and Meng Changjun, president of investments, East Hope Group.
In phase one of the proposed project, East Hope would develop an alumina facility, while the second phase would include a red mud research centre and recycling project, a statement said.
The final phase of the project would see large-scale upstream and downstream non-ferrous metal processing facilities, it added.
As part of the agreement, KIZAD, a subsidiary of Abu Dhabi Ports, would support East Hope Group across all areas as it investigates setting up in Abu Dhabi, including ensuring the best utility prices, acquiring the land, creating a masterplan and handling the import of raw materials through Khalifa Port, and storage.
East Hope Group, which is headquartered in Shanghai, is the latest Chinese firm to eye Abu Dhabi as a Middle Eastern hub and a gateway to the region, Africa and Europe.
Earlier this year, Roadbot broke ground at KIZAD on a new tyre manufacturing plant, which is located in the 2.2 sq km China-UAE Industrial Capacity Cooperation Demonstration Zone.
Chaturvedi said: “We are delighted that a company of the size and stature of East Hope Group has recognized the unique value proposition of KIZAD and shown interest in joining our thriving and expanding industrial and trade community in Abu Dhabi.”
Yongxing Liu, chairman of East Hope Group, added: “I am looking forward to integrating our advanced production capacity in the heavy industry with the UAE’s advantages, setting up the strictest environmental standards to establish this new project, facilitating the UAE’s sustainability ambitions. This project will become the benchmarking project along the Belt and Road Initiative between the UAE and China.”
The East Hope Group produces aluminium and related products, as well as animal feed. The company was founded in 1982 and has plants in Vietnam, Indonesia and Singapore.
The China-UAE Industrial Capacity Cooperation Demonstration Zone, which was established in conjunction with Jiangsu Overseas Cooperation Investment Co Ltd. (JOCIC), has already attracted the interest of 19 Chinese firms since it was set up last year.
Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.