British Report: Morocco Strengthens Its Leadership in Electric Vehicle and Green Hydrogen Technology
A report released by the London School of Economics and Political Science (LSE) on Wednesday affirmed that Morocco is poised to make a qualitative leap in the automotive industry, transitioning from a mere assembly hub to a global player in the fields of electric vehicles and green hydrogen technology.
According to the report, prepared by researchers Angela Colongo and Inas Al-Aidi, Morocco positions itself strategically within global value chains, benefiting from its geographic proximity to Europe and a network of free trade agreements with major economic blocs, including the European Union and the United States, along with the promising African market under the African Continental Free Trade Area (AfCFTA).
The report highlighted the humble beginnings of the Moroccan industry in 1959 with the establishment of the Somaca company, before the country attracted major global names through smart industrial policies such as the industrial compensation law, free trade zones, and tax incentives. These partnerships have allowed annual production to rise to nearly one million vehicles and enhanced technological transfer and training of the Moroccan workforce.
The report noted that the Renault-Nissan factory in Tangier is the largest and most environmentally friendly in Africa, exporting 90% of its production to 74 countries. Additionally, Stellantis has successfully developed an integrated manufacturing chain in Kenitra that includes engine production.
Regarding the transition to clean energy, the report clarified that Morocco does not merely aim to manufacture today’s vehicles but aspires to lead the future of sustainable mobility. It highlighted that a Chinese company plans to establish three additional factories dedicated to electric mobility, aligning with Morocco’s target of producing one million passenger cars annually by 2025, most of which will be hybrid or electric.
Moreover, the report pointed to the innovation of the NamX hydrogen vehicle, resulting from a partnership between Moroccan entrepreneur Fouad Anaja and Italian design firm Pininfarina, as evidence of Morocco’s shift from the "Made in Morocco" slogan to "Designed and Innovated in Morocco."
In the context of value chain expansion, the report asserted that Morocco possesses important strategic assets, including substantial reserves of phosphates, cobalt, and manganese, as well as its growing capabilities in renewable energy, qualifying it to play a significant role in the global electric vehicle supply chain.
While commending the progress made, the report did not overlook the challenges facing the sector, particularly the weak local integration at the second and third levels of the supply chain, as well as the need for enhanced research and development.
However, the kingdom, the report adds, is making tangible efforts to address these issues through specialized vocational training institutions and strategies aimed at supporting innovation and local manufacturing.
