Stellantis, a global mobility player with 14 brands including Vauxhall, Peugeot, Fiat, Citroën and Jeep, has announced an over €300 million investment in its Kenitra manufacturing facility. This investment is aimed at doubling the site’s production capacity and launching the ‘smart car’ platform. This will include the production of electric vehicles (EVs).
This enhanced capacity supports the company’s growth plans for the Middle East and Africa region. It will push production capacity to one million vehicles per year by 2030 while reaching 70 per cent local integration as outlined in Stellantis’ Dare Forward 2030 strategic plan.
M. Samir Cherfan, Stellantis Middle East and Africa COO, said: “We are proud to announce today a great new milestone in the journey of our industrial plant in Kenitra, in partnership with the Ministry of Industry and Trade in Morocco.
“Together, we have succeeded in positioning Kenitra as a leading Stellantis industrial site and in converting it into a key contributor of our bold ambition in the Middle East and Africa region, leveraging the potential of the newly launched ‘smart car’ platform that will be core to our vehicle offerings in the region by 2030.”
This announcement also falls within the framework of the Strategic Industrial Agreement that started in 2015 between Stellantis and the Moroccan Government aiming to contribute to the development of the automotive industry in the country.
M. Ryad Mezzour, Minister of Industry and Trade, said: “This new milestone in the Stellantis project in Morocco illustrates the positioning of the Kingdom as one of the most competitive carbon-free automotive industrial platforms worldwide, built thanks to the Far-sighted Vision and Leadership of His Majesty King Mohammed VI.
“It also reinforces electric vehicle production capabilities in our country and comforts our determination to be a key player in sustainable mobility.”
Since its inauguration in 2019, Kenitra has continuously over delivered on the commitments defined in the Strategic Industrial Agreement and constantly improved its operational efficiency and quality results.
With this announcement, the plant will now double its production capacity, reaching 400,000 vehicles per year along with 50,000 electric mobility objects. This includes the Citroën Ami and Opel Rocks-e. The ‘smart car’ platform is intended to further support Stellantis’ product offerings and will represent 40 per cent of the region’s mobility offerings by 2030.
The investment will also create nearly 2,000 new local positions. Stellantis will provide upskilling and training for all its employees. The company has now achieved a local integration rate of 69 per cent aimed at developing activities by and for the region to become a full-fledged organisation leveraging local talent.
From an environmental perspective, the plant is a model of energy optimisation with low energy consumption per vehicle produced (425 KWh/vehicle). It will soon access renewable energies supported by the Moroccan national strategy for energy transition and sustainable development.
Carlos Tavares, Stellantis CEO, said: “Stellantis’ global ambition will benefit from the strong development pace of the Middle East and Africa region that aims at contributing to creating a third engine for Stellantis, in addition to North America and Europe.”
“I trust our regional teams to achieve sustainable growth with a number one position in the market and double-digit margin while leading the energy transition. At Stellantis, we commit to offering our Middle East and Africa customers clean, safe and affordable mobility.”