Stellantis Morocco launches first AGV production in Middle East-Africa

Saturday 08 February 2025 - 10:50

By: Dakir Madiha

Stellantis Morocco launches first AGV production in Middle East-Africa

Stellantis's manufacturing facility in Kenitra, Morocco, has launched production of Automated Guided Vehicles (AGVs), marking a significant advancement in the region's automotive manufacturing capabilities. The plant aims to produce 1,000 AGVs annually, according to Faro de Vigo.

The AGV workshop at the Kenitra facility is the first of its kind in the Middle East and Africa region, demonstrating an innovative approach to industrial production. The plant has shown remarkable efficiency, assembling one AGV every three hours and producing 90 units in just four hours, achieving over 150% efficiency rates.

This development comes as Morocco's automotive sector continues to strengthen its position in global markets. The country recently surpassed China as the European Union's primary automotive trading partner, with exports valued at €15.1 billion in 2023, compared to China's €13.6 billion.

Stellantis has deepened its commitment to Morocco through the acquisition of Sopriam, a subsidiary of the Al Mada group, in July 2023. Samir Cehrfan, Stellantis Middle East and Africa Operations Director, highlighted the Kenitra factory's excellence, noting its contribution to the group's regional goal of achieving an annual production capacity of one million vehicles by 2030, with local integration exceeding 90%.

The facility has set ambitious targets, including doubling its production capacity to 400,000 vehicles by 2027 and capturing over 22% market share by 2030. Morocco's government has expressed optimism about the sector's trajectory, emphasizing its role in economic growth and job creation. The industry achieved an export turnover of MAD 72 billion in 2018 and generated more than 116,000 jobs between 2014 and 2018.

The automotive sector's expansion aligns with Morocco's broader industrial strategy, highlighting the country's growing importance in global automotive manufacturing and its commitment to technological advancement in the industry.