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Monday, 11 April 2016

Renault $1bn investment in Morocco


Renault and component suppliers plan to invest 10 billion dirhams ($1.04 billion) in Morocco to build an “industry ecosystem”, which together with its new plants will raise the French carmaker’s local sourcing of components to 65 percent from 32 percent, the country’s industry minister Moulay Hafid Elalamy told Reuters on Friday.
“Renault ecosystem means that around Renault plants in Tangier and Casablanca, many other companies are coming to invest and make the parts that will shape a Renault car,” the minister said.
The new plan is projected to generate 20 billion dirhams in revenues.
Renault’s director for Africa, Middle East and India region, Bernard Cambier said that at least 15 component makers are committed to invest in the project. However, he did not give details.
Morocco is fast becoming Africa’s automotive hub. Last year, PSA Peugeot Citroen opened a 557 million euro ($630 million) assem­bly plant near Kenitra in the northern part of the country, with the capacity to produce 200,000 vehicles a year. The plant will be operational in 2019. The north African kingdom therefore expects its auto industry exports to reach an annual 100 billion dirhams ($10.2 billion) by 2020.

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