Chinese tire maker Guizhou Tyre has completed all domestic approval and registration procedures for its €250 million Morocco plant, less than a year after announcing the project, according to multiple media reports.
The factory is expected to generate annual revenue of about £182 million and average annual profits of around $40 million.
It will be located in the Mohammed VI Tangier Tech City industrial zone, which already hosts several major Chinese tire manufacturers.
Guizhou Qianjin Tyre Investment, the company’s wholly owned subsidiary, received an overseas investment certificate from Guizhou’s commerce department on Tuesday 11, following earlier approvals from the provincial state assets regulator and Development and Reform Commission.
A previous report said construction of the Moroccan plant is expected to take around two years, with the facility set to produce up to 6 million passenger vehicle tires annually.
The investment will become Guizhou Tyre’s second overseas production base after its factory in Vietnam, allowing the company to serve European and North American markets more efficiently.
In recent years, Chinese companies have invested billions of dollars in Morocco’s growing automotive industry, strengthening the country’s position as a manufacturing hub for vehicles, batteries, and auto parts destined for European markets.
The investment comes as Morocco has spent years positioning itself as a manufacturing bridge between Europe, Africa, and the Americas.
Yet, the EU has raised concerns that some Chinese manufacturers could use Morocco as an easier gateway to European markets, as the bloc tightens restrictions on Chinese imports.
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