VIEWS ON ALGERIA: The Automotive Market

ALGIERS, ALGERIA - In preparation for the upcoming General Assembly in Algiers, learn more about Algeria's growing automotive industry. 

When we talk about car industry, we tend to believe that we are starting from scratch and that our country has no experience in the field. Until recently, our country was the only one in the whole Maghreb who manufactured trucks, tractors, equipment for industrial and commercial vehicles and even cars. It should be noted that between 1960 and 1972 there was a Renault assembling factory that made R4, R8 and later R16 models. It’s also important to point out that many trucks with the Berliet logo have been made in a factory in Rouiba, this unit was later on nationalized and the SNVI (Ex: SONACOM) was created.

Beyond this little history reminder, Algeria has become almost completely dependent on vehicle importation, in 2014 alone there was about 420.000 imported vehicles. To face this situation that generated a multi-billion dollars importation bill, the government decided to launch an ambitious plan of industrialization in mechanics and automobile. 

The goal is to reduce importation and transform our economy from a consuming one to an industrially creative of local wealth. The difficulty lies in the reconstruction of a subcontracting network in the automobile industry which practically disappeared in the 80s. In the meantime, the govern-ment is opting for a progressive integration of the locally manufactured components, going from SKD to CDK.

Just like the Renault factory in Oued Tlelat near Oran and the Mercedes Factory in Rouiba, other brands have realized the economic and strategic interests of the industrialization of the automobile sector and are announcing their intentions to establish industrial units in our country, among them we cite Peugeot, JAC, Hyundai, the Volkswagen group, and many other brands.

REGISTER TODAY  for the 2016 WTCA General Assembly to experience the international business and investment opportunities that this North African business hub has to offer. See you in Algiers from April 17-20!