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Home > Economy > Morocco Overtakes China as Leading Automotive Supplier to European Union

Morocco Overtakes China as Leading Automotive Supplier to European Union

Morocco has recently surpassed China to become the European Union’s top automotive trading partner, marking a significant development in the country’s industrial growth.

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Sep, 12, 2024
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Morocco Overtakes China as Leading Automotive Supplier to European Union

Morocco Overtakes China as Leading Automotive Supplier to European Union

Rabat – Morocco has recently surpassed China to become the European Union’s top automotive trading partner, marking a significant development in the country’s industrial growth.

With automotive exports to the EU valued at €15.1 billion in 2023, Morocco edged out China, whose exports reached €13.6 billion.

Though China remains the leader in terms of the number of vehicles exported to Europe—shipping 782,000 vehicles compared to Morocco’s 536,000—the North African country’s  achievement highlights its growing influence in the European market.

This growth is largely driven by the country’s focus on higher-value production and strategic investments in its automotive sector.

Central to Morocco’s rise are its industrial hubs in Tangier and Kenitra, where state-of-the-art manufacturing facilities have attracted significant international partnerships.

These plants produce popular models, including the Dacia Sandero, which has been a top-selling car in Europe since 2017, and the Citroen Ami, a compact electric vehicle gaining traction in the small EV market.

Morocco’s government has set ambitious goals to further expand its automotive production. By 2025, the country aims to manufacture one million vehicles annually, up from its current capacity of 700,000.

This expansion is supported by a network of more than 230 suppliers and has created over 220,000 jobs in the sector.

In addition to increasing production, Morocco has placed emphasis on meeting environmental standards, particularly those of the European Union.

The supply chains supporting the Tangier and Kenitra production sites are designed to be environmentally responsible, reflecting the growing demand for sustainable vehicles in European markets.

Between 2020 and 2023, Morocco’s automotive output increased by 63%, solidifying its position as Africa’s leading car producer after South Africa.

This increase in production is part of a broader industrial strategy aimed at enhancing Morocco’s competitiveness on the global stage, while also contributing to the country’s economic diversification.

Partnerships with major global automakers, including Renault and Stellantis, have been key to Morocco’s success. These companies have invested heavily in Moroccan facilities, attracted by the country’s competitive labor costs, skilled workforce, and proximity to Europe.

Tags: Auto industry in Moroccomorocco automotive industry
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