Morocco enters the electric battery race with a complete production chain in 15 months.
Morocco is working to develop a full supply chain related to the manufacturing of electric vehicles, from battery components to the production of entire vehicles, according to Moroccan Minister of Industry and Trade Ryad Mezzour.
During an interview with “Asharq,” on the sidelines of the United Nations Industrial Development Organization meeting held in Riyadh, Mezzour stated that Morocco will have a complete battery production chain within 15 months, through several factories currently under construction.
He added that the target is a production capacity of 100 gigawatts by 2030, starting with 20 gigawatts next year, “to meet the demand from electric vehicle manufacturers, as well as to cover the needs for renewable energy production and storage.”
This month, the Moroccan company Neo Motors unveiled an electric car, the first of its kind from a Moroccan automobile manufacturer.
The Kingdom aims to increase electric vehicle production to account for 60% of the sector’s exports by 2030, according to an official document from the Ministry of Economy and Finance accessed by “Asharq.”
Expanding to Broader Markets
Investors have raised their investments in Morocco’s automobile manufacturing sector to $30 billion to boost production to one million vehicles annually this year, up from 700,000 cars, while the local component percentage has reached 70%, according to the Moroccan minister. He mentioned that the goal is to export to 110 countries within three years, compared to the current 70 markets.
The automotive industry is Morocco’s largest export sector, thanks to factories belonging to French company Renault and European firm Stellantis, with a production capacity nearing one million vehicles annually, including electric and hybrid models. Exports from the sector reached 112.2 billion dirhams in the first nine months of this year, down 2.7%, according to the latest official data.
Regarding aircraft parts manufacturing, Mezzour noted that the Kingdom has 160 factories producing spare parts, even complex ones like those for large commercial aircraft. He revealed that the total transaction value of these factories amounts to $2.5 billion annually and is expected to triple in five years.
Manufacturing and Trade Integration with Saudi Arabia
Regarding commercial and industrial cooperation between Morocco and Saudi Arabia, the Moroccan minister stated that there are many areas for collaboration and integration, as Saudi Arabia is home to heavy and metal industries and raw materials, while Morocco relies on manufacturing industries that heavily use metals and raw materials. He added that the similar manufacturing targets of both countries encourage them to work together.
Mezzour considered that adding the new shipping line would further strengthen the connection between the two kingdoms, which could facilitate trade exchanges and open avenues for exporting products from small and medium-sized enterprises from both countries at reasonable costs.
Morocco and Saudi Arabia are working to accelerate the revival of the direct maritime project to increase and diversify intra-trade flow and improve the trade balance, which significantly favors Riyadh.
Last year, bilateral trade between Morocco and Saudi Arabia reached about 26 billion Moroccan dirhams, roughly $3 billion, with an annual increase of 7.3%, according to data from the Moroccan Ministry of Industry and Trade. Moroccan imports from Saudi Arabia account for the majority at about 24.8 billion dirhams, mostly petroleum products, while imports from Riyadh to Rabat do not exceed 1.15 billion dirhams, resulting in a significant deficit for the latter.
