Chinese auto parts firm chooses Morocco for first overseas factory
Investment in Moroccan plant highlights kingdom’s growing role as an automotive manufacturing and EV supply chain hub
RABAT, Morocco (MNTV) — Chinese automotive components manufacturer Ningbo Gaofa Automotive Control System has announced plans to establish its first production facility outside Asia in Morocco, expanding its international operations as the North African kingdom strengthens its position as a global vehicle manufacturing center.
The Shanghai-listed company said it will create a wholly owned subsidiary, Gaofa Automotive Control System (Morocco), with planned investment reaching up to $20 million.
The facility is expected to manufacture automotive control products including gear-shift systems, electronic accelerator pedals and related cable components for international automakers operating in Morocco, including Renault and Stellantis.
The move reflects Morocco’s increasing importance as a manufacturing base for global automotive suppliers seeking closer access to European markets while benefiting from lower production costs and industrial incentives.
Company officials cited Morocco’s strategic geographic location, competitive labor costs and expanding industrial infrastructure as major reasons behind the decision.
Over the past several years, Morocco has attracted growing investment from Chinese automotive and component manufacturers as global supply chains shift closer to Europe.
The country has emerged as Africa’s leading automotive production hub, supported by large-scale assembly operations run by Renault in Tangier and Stellantis in Kenitra, alongside strong export performance to European markets.
Morocco is also rapidly expanding its role in the electric vehicle sector, particularly in battery manufacturing and EV-related industrial production.
One of the largest projects currently underway involves Chinese battery giant Gotion High-Tech, which is developing Africa’s first electric vehicle battery gigafactory in Kenitra through an investment estimated at approximately $5.6 billion.
Initial production capacity at the facility is expected to reach 20 gigawatt hours beginning in 2026, with plans for future expansion.
Several other Chinese firms — including BTR, CNGR and Hailiang — have also announced investments in Morocco focused on battery materials and EV components, contributing to the development of a broader electric mobility ecosystem.
Analysts say Morocco’s extensive trade agreements, renewable energy capacity and proximity to European markets are helping transform the country from a traditional vehicle assembly location into a wider automotive and clean mobility manufacturing platform.