Industrial Acceleration Plan: The investment boom continues

17 investment contracts for a total of 2.4 billion dirhams, 14,230 jobs and a turnover of 7.62 billion dirhams

The contracts were signed on 6 July 2017, in Rabat, by the Minister of Industry, Investment, Trade and Digital Economy, Moulay Hafid Elalamy, the Minister of Economy and Finance, Mohammed Boussaid, and the leaders of the companies involved. These contracts are part of the implementation of industrial ecosystems in the automotive and aerospace sectors.

These investment projects, which amount to a total of 2.4 billion DHS, shall contribute to the creation of 14,230 jobs and generate a turnover of 7.62 billion dirhams.

14 of the 17 investment projects are related to the automotive sector while 3 will be deployed in the aviation industry. Such investments are introducing new specialisations. They reinforce local integration, densify the productive fabric and satisfy a need previously filled by imports, M. Elalamy emphasised, that “the projects launched show the growing interest of national operators for emerging industrial sectors. More companies want to invest in them”.

In the automotive industry, pioneering projects that expand local value chains are being set up with the Chinese company Xiezhong, which will manufacture air conditioning systems, Electroplast, which will specialise in surface treatment, and Lear Corporation Automotive, already present in Morocco and which develops new technologies in embedded electronics. Knauf and Hispamoldes who will operate in plastic injection will further strengthen local integration. The joint venture between Dolidol and Spanish Jobelsa, will be specialised in the manufacturing of seat covers and complete seats.

Another important investment is that of Leoni, which is part of a global development plan for the group in Morocco. It is set to create 11,000 new direct jobs throughout all its sites in Morocco. The group is undertaking to establish its worldwide R&D centre in Morocco.

Other projects launched in the automotive industry concern fast-growing sectors such as tempered glazing, metal structures and hydraulic sub-assemblies. They are destined to develop the capacities of manufacturers in order to meet the increasing demand for equipment, which has amplified with the noticeable growth momentum in the sector and with the arrival of the second manufacturer in particular.

In the aeronautics sector, Figeac Aero Maroc is establishing itself for the first time in Morocco and specialises in the machining and assembly of aeronautical parts and surface treatment to serve Airbus and Bombardier. The investments of ADF Technologie Morocco and Tecaero Maroc will concern the design and manufacture of tools and pipelines.

The projects launched show the industrial sectors boost which offers real opportunities to operators. In 2016, the number of people actually working in the automotive sector amounts to about 150,000, representing an increase of about 80% compared to 2014. Revenues generated increased from 40 to 60 billion dirhams during the same period, thus recording an increase of 50%. The performance of the aeronautics sector is equally remarkable. In 2016, the turnover of the sector amounts to 9.2 billion dirhams, achieving a 12.5% increase compared to 2015. The number of employees in the sector increased by 19% between 2014 and 2016, rising from 12,600 to 15,000.