Morocco is also home to French carmaker Renault. The automotive sector has accounted for 27.1% of Morocco’s exports of 27.7 billion dirhams in the first four months of 2019.
On Friday, French carmaker PSA stated, it has opened a $630 million (555 million euro) factory in Morocco’s Kenitra’s Atlantic Free Zone, near Rabat.
At the inauguration ceremony, Industry Minister Moulay Hafid Elalamy stated, PSA will initially produce an 100,000 cars annual in 2020 and increase it to 200,000 by 2023.
PSA’s investment has encouraged the setting up of plants by 27 car part suppliers in Kenitra including Citic Dicastal, world leading aluminum wheels manufacturer.
Sales in the automotive sector have accounted for 27.1% of Morocco’s exports at 27.7 billion dirhams in the first four months of 2019, up by 0.3% compared to the same period last year.
The North African country is also home to production plants of French carmaker Renault.
“The new plant is expected to boost Morocco’s exports as it struggles to curb a trade deficit that widened by 5% to 67.2 billion dirhams ($7 billion) in the first four months of 2019 compared with the same period last year” said Elalamy.