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Algeria bets on Stellantis plant to relaunch country's automotive sector

Algeria's car production has taken a huge hit in recent years. Here's what it will take to get the automotive industry back on track.

Cars drive on a road in the Algerian capital Algiers on February 1, 2017. / AFP / STRINGER (Photo credit should read STRINGER/AFP via Getty Images)
To:

Al-Monitor Pro Members

From:

Francisco Serrano

Journalist and analyst specialized in North Africa

Date:

April 25, 2023

Bottom Line:

In 2023, carmaker Stellantis will set up a manufacturing plant to produce Fiat cars in Tafraoui in western Algeria. The $213 million investment marks the return of car manufacturing to Algeria, and authorities hope it will attract other auto markets to the country. But after years of back and forth, developing a sustainable auto-manufacturing cluster will require stable industrial policy and the development of a supplier network.

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