Renault and Nissan are planning a new vehicle production facility for Morocco that will have an eventual capacity of 400,000 units a year.
A memorandum of understanding has been signed for the creation of a new industrial complex in the Tangier region of North Morocco. An initial capacity of 200,000 from 2010 is planned.
Planned investments in manufacturing capacity for this project are estimated at EUR600m, with a first phase of EUR350m.
The Kingdom of Morocco and the Renault-Nissan Alliance expect to sign a General Agreement by the end of 2007.
The plant will be managed by Renault and will make the Logan and light commercial vehicles (LCVs). Some 90% of the plant’s output will be exported.
It is estimated that 6,000 jobs will be created directly with some 30,000 indirect jobs generated also.
“Given the large amount of the investment, the size of the manufacturing facility and the total number of jobs that would be created, this project would be one of the key industrial achievements of the Kingdom,” Moroccan prime minister Driss Jettou
“Through this project, I would like Morocco to become a strategic global base at the highest competitive level worldwide in the Alliance’s manufacturing system. In addition, I sincerely hope that this initiative will make a significant and sustainable contribution to economic growth in Morocco,” said Renault CEO Carlos Ghosn.
Commercially present in Morocco since 1928, Renault has been assembling vehicles at SOMACA (Moroccan Society of Automobile Construction, located in Casablanca and 80% owned by Renault, 20% owned by PSA) since 1966. SOMACA has been assembling the Kangoo since 1997 and Dacia Logan since 2005.
With 27,000 vehicles sold in 2006, the Renault Group is leader of the Moroccan market with its two brands Renault and Dacia, which rank respectively first (16.6%) and second (15.1%). Launched in July 2005, Logan became the best selling vehicle in Morocco within its first six-months. In 2006, 12,700 Logans were sold in Morocco.