Morocco: Foreign Investments in Strategic Sectors to Drive Growth

by | Feb 1, 2025 | Diplomacy, Economic, Social

Summary:

On 30 January 2025, Chinese automobile components manufacturer, Shanghai Carthane, announced plans to open a branch in Morocco called Kaizhong with a total investment of approximately $5.6 million. The new branch will serve to export to European and African markets. 

Meanwhile, the US-Irish manufacturer of automotive equipment, Aptiv, launched a new production unit in Tangier, Morocco with $45 million investment and an employment capacity of 3,000 jobs. The new site is Aptiv’s eighth in Morocco.  

These new announcements come days after the inauguration of a new production site by German wire harness producer, Leoni, in Agadir which will employ 3,000 workers. The new site was launched with an investment of $25 million and is Leoni’s eleventh site in Morocco. 

In the meantime, Spanish chain Silken Hotels announced seven new projects, two of which will start this year in Casablanca and Agadir. The other projects will be in Nador, Marrakech, Dakhla and other destinations, said Javier Villanueva, the chain’s general manager. 

In the mining sector, Canadian Stellar AfricaGold declared it will invest $2.23 million in the Tichka Est site in Morocco after renewing exploration permits by the National Office of Hydrocarbons and Mines. 

                      

Outlook: 

The numerous new projects announced this week highlight Morocco’s success in attracting foreign investments in its strategic sectors which should begin decreasing its 12.6% unemployment rate, if only incrementally. 

The Moroccan automotive components sector is continuing to attract foreign investments as the country offers competitive advantages with ports connecting African and European markets. Moroccan plans to expand and modernize its Mediterranean and Atlantic ports are an attractive development for investors.  

The tourism and mining sectors are also getting attention from Moroccan policymakers seeking to compensate for challenges in the agricultural sector from droughts that continue to threaten production. With perceptions that the government has a firm control over security and terrorism, Morocco is likely to continue attracting investments in these sectors. 

 


 

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