Algeria, China launch EV production project in Naâma province
This EV project is part of a broader wave of Chinese investments in Algeria's automotive sector.
-
Ministry of Energy and Mines Algeria signing the contract
Algeria has announced a strategic partnership with Chinese automotive manufacturers to establish an electric vehicle (EV) production facility in Naâma Province, located in the southwestern region of the country. The project aims to diversify Algeria's industrial sector and reduce its reliance on hydrocarbon revenues, aligning with the nation's economic vision for sustainability and technological advancement.
Governor of Naâma Province, Lounes Bouzegza, met with a high-level Chinese delegation to discuss the launch of an integrated industrial complex for electric vehicles. The facility will be situated in the Harshaya industrial zone, which spans 150 hectares and is strategically located near major road and rail networks.
The project aims to produce 50,000 to 200,000 electric vehicles annually, meeting domestic demand and positioning Algeria as an exporter to African and European markets.
Chinese Investments in Algeria's Automotive Sector
This EV project is part of a broader wave of Chinese investments in Algeria's automotive sector. Major manufacturers, including Geely, Chery, and JAC, have announced plans to establish vehicle assembly plants in the country:
- Chery is investing $110 million in a plant targeting an annual production of 50,000 vehicles.
- Geely is investing $200 million in an assembly plant expected to begin operations in 2026, with a capacity of 50,000 units per year.
These investments reflect the growing economic ties between Algeria and China, focusing on technology transfer, job creation, and clean energy solutions.
Read more: China supplying Egypt with satellites: what are the motives?
This announcement follows a recent strategic energy partnership between Algeria and China. On February 25, Sonatrach and Sinopec signed a production-sharing contract to explore and exploit hydrocarbons in the Hassi Berkane Nord area.
The agreement, supervised by Algeria's Minister of Energy and Mines, Mohamed Arkab, aims to attract foreign investment and enhance local technological capabilities. Sinopec will bring advanced technologies to optimize operations, reinforcing Algeria's role in regional and international energy security.
Economic Diversification
These initiatives are part of Algeria's strategy to modernize its industrial sector, reduce dependency on hydrocarbons, and enhance economic sovereignty. By expanding collaboration with China, Algeria is driving technological advancement, creating local jobs, and promoting sustainable industries.