A new report by the Chinese platform Tire China says Morocco is emerging as a strategic hub for the global tire industry as international automakers expand their operations in the North African country.
The report finds that Morocco is no longer just an assembly base for global carmakers but “a strategic location that tire companies cannot ignore,” citing the rapid growth of the country’s automotive sector and its proximity to Europe.
According to the platform, Morocco’s appeal lies in a broader shift of tire supply chains toward low-cost regions close to European markets and free of customs duties. The country produced about 560,000 vehicles last year, and the government aims to push that figure to 1 million vehicles annually by the end of this year, a target that will generate strong and consistent demand for tires.
Tire China notes that Renault’s plant in Tangier is among the most efficient globally, with a capacity exceeding 300,000 vehicles per year, while Stellantis has lifted its production in Morocco to 500,000 vehicles. It adds that Chinese automakers such as BYD and Geely have also entered the Moroccan market, bringing with them new manufacturing models and supply-chain structures attractive to Chinese tire producers.
The report argues that the benefits of establishing tire factories in Morocco go beyond low production costs. Morocco has a full free-trade agreement with the European Union and tariff-reduction arrangements with the United States, the Middle East and parts of Africa. This combination, African cost structures, direct access to Europe and trade preferences with multiple regions — is described as “a rare global mix.”
Manufacturing in Morocco also allows tire companies to ship to the EU without customs duties and to avoid European anti-subsidy investigations, the report says. Ongoing energy pressures, labor shortages and stricter supply-chain rules in Europe are further encouraging companies to seek closer, more affordable production bases that remain compliant with EU environmental and regulatory frameworks.
Tire China highlights Tangier Med port as a major logistical advantage, given its location just 14 kilometers from Spain, making it closer to European industrial centers than parts of Eastern Europe. The port’s modern infrastructure, the report adds, positions Morocco as a strong node in European “green supply chains.”
The report also points to Morocco’s large phosphate reserves, partnerships with the EU on green hydrogen and renewable electricity, and long-term industrial strategy as factors supporting investment. It notes that Morocco is one of the few countries with a stable, long-range plan to attract and secure foreign manufacturing.
For Chinese tire manufacturers looking to expand globally, particularly into Europe, Morocco offers “unique strategic value,” according to the report. It serves not only as a platform to reduce trade risks but also as a direct link to major European automakers and premium global supply chains.
Tire China concludes that Morocco’s rise reflects a broader restructuring of the global automotive supply chain. For tire companies, it says, investment in Morocco is “a game-changer,” shifting competition from cost alone to a mix of commercial incentives, local support and environmental compliance.
“Those who establish themselves early in Morocco will hold a decisive advantage in the competitive European market,” the report says.
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