Stellantis expands production capacity at Morocco plant

File photo: The logo of Stellantis sits on the company's building in Poissy, near Paris, France, on 26 February 2025. Reuters/Stephanie Lecocq/File Photo

The 1.2 billion euro ($1.4 billion) expansion is expected to raise the local sourcing rate to 75% by 2030, Moroccan Prime Minister Aziz Akhannouch said at the event. That compares with a rate of around 69% currently. Stellantis also plans to produce hybrid engines and three-wheeled vehicles at the plant. The Kenitra facility, which opened in 2019, reached a production capacity of 200,000 vehicles in 2020.

In addition to Stellantis, Morocco is home to French carmaker Renault and parts suppliers.

Stellantis's expansion will help Morocco exceed 1 million vehicles in production capacity, industry minister Ryad Mezzour said at the inauguration. The country's automotive industry exports rose 6.3% to a record 157 billion dirhams ($17bn ) in 2024, according to official figures. Morocco has been preparing its automotive sector for the electric mobility transition, attracting investments in recent years from Chinese EV battery makers.