Xi, on his first visit to Egypt in a decade, was welcomed for talks at the opulent Ittihadiya presidential palace in the Egyptian capital by Sisi and a 21-gun salute.

Sisi's office said the two BRICS members signed an agreement to launch the third phase of the Egyptian-Chinese industrial zone, which officials say already hosts 200 companies and investments worth around $4 billion.

The new investments -- which Egypt has not announced a figure for -- give Beijing an even greater foothold in the Suez Canal zone, as Beijing looks to expand its influence in the region and as the US-Iran war continues to threaten global maritime trade.

The talks also covered the six-month US-Iran conflict, with both presidents urging "diplomatic solutions" to reach a "comprehensive agreement to end the war", according to a statement from Sisi's spokesperson.

A series of additional agreements were also signed, the statement said, without providing details.

Beijing has played a key role in Sisi's megaprojects, the crowning jewel of which is the New Administrative Capital 50 kilometres (30 miles) east of Cairo, large swathes of which have been bankrolled by Chinese investment.

China is a major exporter to Egypt, with its trade surplus reaching $12 billion in the first seven months of 2026, according to Chinese customs data.

Across Cairo, a megalopolis home to over 26 million people, major streets have been lined with Chinese and Egyptian flags, as well as billboards showing Sisi and Xi.

Street signs boast of "generations of Egyptian-Chinese friendship flowing like the Nile River", while residents have been warned to plan for substantial traffic delays on their commutes.

Xi is expected to head to the Grand Egyptian Museum overlooking the Giza Pyramids later on Wednesday.

- 'Independent foreign policy' -

According to analysts, Cairo is using the summit to underscore its strategic autonomy, showing it can leverage its close ties with both Washington and Beijing.

Sisi, in an op-ed published in Egyptian media on Tuesday, highlighted Cairo's "independent foreign policy", days after a branch of Egypt's second-largest bank was targeted by US sanctions.

He wrote that Egypt and China were partners in "strengthening the role of the global south" in an increasingly polarised world.

Washington vowed last month to isolate Iran economically, threatening expanded sanctions that could also hit Chinese banks, among others.

China, a major buyer of Iranian oil, has vowed to safeguard its interests.

In the lead-up to an expected meeting between Xi and US President Donald Trump this month, it has also sought to shore up ties with US-friendly regional nations.

Egypt is one of the largest recipients of US military aid, and historically a key Middle East mediator.

Last week, the US Treasury announced sanctions on the Emirati branch of Egypt's Banque Misr for alleged support to Iran.

Egypt -- which under Sisi's administration became one of the world's top weapons buyers -- hosted major joint air combat exercises with the Chinese military in August, featuring Beijing's powerful J-16 fighter jet.

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