On the labyrinthine streets of Marrakech’s bustling medina, it’s hard to imagine that you’re in one of the world’s largest auto-producing countries.
The sunny Kingdom of Morocco is renowned as a tourist destination, with its bustling souks, iconic Moorish architecture and surreal Saharan desert dunes.
But the country is now also making a name for itself in the auto industry, having spent around two decades transforming itself into the auto manufacturing hub of Africa.
According to data firm CEIC, Morocco produced 535,825 motor vehicles in 2023, up from 464,864 in 2022, and it has the capacity to see that number rise to 700,000, the Associated Press reported.
The country has even overtaken China, India and Japan as the main automotive supplier to the European Union (EU), according to Spanish media Atalayar.
Morocco is now looking to consolidate its position as a major player in the sector and anticipate major regulatory changes – such as the EU’s plan to phase out petrol and diesel cars by 2035 – by preparing for the transition towards electric vehicles.
Moroccan Industry and Trade Minister Ryad Mezzour told Reuters that by 2030, the Moroccan government hopes that up to 60% of its exported cars will be domestically produced electric vehicles.
And the kingdom appears to be in a good position to make the transition, according to Rafiq Raji, nonresident senior associate in the Africa program at the Center for Strategic and International Studies in Washington, DC.
“Literally in Europe’s backyard, Morocco’s tariff-free trade access to the United States and the European Union, relatively better infrastructure, mineral endowment for batteries, automotive industrial base relatively robust, and the fact that it is currently the only African country eligible for the American inflation reduction program. Act, has made it very attractive for EV-related investments, particularly from China,” Raji told Business Insider.
Morocco has also spent on infrastructure and training skilled workers, meaning it could be in a favorable position to attract investment from automakers seeking to expand their electric vehicle supply chains, Abdelmonim told AP Amachraa, a Moroccan supply chain expert.
And it appears the kingdom is already making progress in the area of electric vehicles.
This week, Moroccan officials revealed that Chinese auto battery makers Hailiang and Shinzoom will build two separate battery factories in the country’s Tanger Tech industrial zone.
Another Chinese battery maker, BTR New Material Group, will also build a factory near Tangier – a coastal city with close ties to many American writers – to produce cathodes of key components, it was announced in April .
CNGR Advanced Material is also expected to set up a cathode factory in the country.
“BTR and CNGR or other factories will be able to supply gigafactories in Morocco and abroad,” Mezzour told Reuters.
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