CDG, Gotion High-Tech Finalize Agreement for $1.3 Billion Electric Battery Gigafactory in Kenitra

The state-owned investment fund CDG and Gotion High-Tech signed a Memorandum of Understanding (MoU) on November 13, 2024, in Hefei, China, to advance the development of an electric battery gigafactory in Kenitra, Morocco.

Rabat– The state-owned investment fund CDG and Gotion High-Tech signed a Memorandum of Understanding (MoU) on November 13, 2024, in Hefei, China, to advance the development of an electric battery gigafactory in Kenitra, Morocco.

This agreement demonstrates both parties’ commitment to fostering sustainable and electric mobility within Morocco, marking a significant step in the country’s transition toward a greener automotive industry.

The MoU was signed by Khalid Safir, Director General of CDG, and Li Zhen, President of Gotion High-Tech. According to a press release, the agreement outlines that CDG Invest, through its NAMA fund, will take an equity stake in Gotion Power Morocco.

This partnership builds on a previous investment agreement signed in June between the Moroccan government and the Sino-European group, reflecting a shared commitment to strengthening Morocco’s industrial ecosystem.

The Kenitra gigafactory project will receive an initial investment of 13 billion dirhams ($ 1.3 Billion), with the first phase focused on producing 20 GWh of lithium-ion batteries and cathode materials. The project is expected to create approximately 2,300 jobs, contributing significantly to local employment and economic growth.

By supporting this initiative, CDG reaffirms its role as a key institutional investor in Morocco’s strategic projects. The fund is playing an active role in the country’s economic transformation, supporting the development of a modernized, electrified automotive sector.

This collaboration with Gotion High-Tech aligns not only with Morocco’s sustainable development goals but also positions the country as a growing hub for advanced industrial and technological investments.

“The Gotion High-Tech integrated Gigafactory project is in line with Morocco’s strategy to develop a robust industrial ecosystem for sustainable mobility,” the press release states. “It also marks a significant step toward integrating the Moroccan automotive sector into the era of electrification, fully aligned with the strategic vision of King Mohammed VI.”