Summary:

On June 11, 2025, Algeria took a significant step toward advancing its automotive industry as Minister of Industry Sifi Ghrieb met with a high-level delegation from the Chinese firm “Automobile New Generation.”  

The delegation included representatives from Chinese automakers OMODA/JAECOO—subsidiaries of the Chery group—alongside their Algerian partner, Iris Group, led by its General Director. Discussions centered on launching a project to manufacture passenger vehicles in Algeria, signaling a new chapter for the country’s automotive ambitions.  

The initiative will focus on building a strong industrial ecosystem by enhancing local production of vehicles and components, supported by a detailed roadmap outlining technical, organizational, and financial phases. 

The goal is to develop a national automotive supply chain through the integration of local small and medium enterprises, while Chinese subcontractors are also expected to establish operations in Algeria to support production and enable technology transfer. 

Moreover, Algeria’s daily newspaper, Echourouk, reported that Majestic Auto, the exclusive distributor of the South Korean brand Hyundai, launched a nationwide campaign to select authorized representatives across Algeria. The move aims to strengthen the distribution network in preparation for the start of local vehicle production. 

Outlook: 

Algeria is steadily trying to position itself as a regional hub for the automotive industry by deepening strategic partnerships with leading Asian manufacturers.  

The recent agreements with China’s OMODA/JAECOO and preparations for Hyundai’s local production rollout highlight the country’s commitment to building a strong local manufacturing industry.  

With these industrial agreements, Algeria is laying the groundwork for a self-reliant, export-oriented automotive sector. These efforts not only reflect its broader ambition to become a key player in the North African and regional markets, but also its potential to compete with Morocco, which currently leads the automotive industry in Africa. 

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