Arjo Coal Factory Marks a Major Step in Ethiopia’s Industrial Transformation

Addis Ababa, February 18, 2026 (ENA) –Deputy Prime Minister Temesgen Tiruneh underscored the strategic importance of the newly inaugurated Arjo Coal Factory, describing it as a vital milestone in Ethiopia’s industrial journey.

The deputy prime minister attended the opening ceremony, which drew local leaders, investors, and community members, officially launched domestic coal production aimed at reducing Ethiopia’s dependence on imports.

In a message shared on his X page, Deputy Prime Minister Temesgen highlighted the factory’s transformative potential. 

"This investment is more than the opening of a factory; it strengthens the foundation upon which a more resilient and self-sufficient economy will stand," he noted.

He stressed the benefits of import substitution, saying, "By replacing imported coal with domestically produced coal, Ethiopia is reclaiming value that once left its borders."

DPM Temesgen detailed the broader impact, "The effects will be significant: substantial job creation, revitalized local supply chains, and lower transportation and production costs for factories nationwide. With cheaper materials, Ethiopian businesses will be more competitive, leading to new opportunities for growth."

 "Lower input costs will enhance the competitiveness of Ethiopian industries and unlock new opportunities for growth. This achievement reflects our steady march toward economic self-reliance," he added.

He further emphasized, "Each strategic project strengthens our national sovereignty, deepens our industrial capacity, and reduces vulnerability to external shocks. Step by step, sector by sector, Ethiopia is building an economy powered by its own resources and driven by its people."

The government-private sector partnership behind the Arjo Coal Factory is expected to create substantial jobs, produce significant volumes of coal annually, and save millions in import costs. The facility will also support the cement and steel sectors while stimulating local economic growth.

"Ethiopia is not just rising; it is shaping its future with confidence, resilience, and determination," DPM Temesgen concluded.