Gotion Gigafactory Construction Launches Within Days in Kenitra
The Sino-European electric vehicle battery behemoth signed an investment accord with Rabat in June 2023. The comprehensive agreement encompasses a staggering $6.5 billion commitment across five developmental phases.
Khalid Qalam, Gotion's Moroccan director, announced the imminent construction launch during Wednesday's industrial conference in Rabat. Terrassement operations have reached completion, and production inauguration is slated for the third quarter of 2026.
The initial phase demands $1.3 billion in capital expenditure. Manufacturing capacity will reach 20 gigawatts. Government negotiations have secured approval for capacity expansion to 40 GW in the second phase, culminating in 100 GWh total capacity across all five phases.
The facility will achieve remarkable vertical integration from inception. Nearly 70% of battery production costs will originate domestically. This unprecedented localization strategy positions Morocco competitively against global rivals.
Manufacturing will encompass batteries, cathodes, and anodes. European markets constitute the primary export destination. The company has already secured numerous orders from European automotive manufacturers.
Phase one will generate 2,300 employment opportunities. The complete five-phase project will create 10,000 positions across the industrial complex.
Morocco's automotive sector achieved record-breaking performance in 2024. Export revenues reached MAD 157 billion ($15.7 billion), representing a 6.3% annual surge. The country surpassed China, Japan, and India to become the European Union's leading automotive exporter in 2023.
Gotion anticipates serving dual market segments. Automotive applications will primarily target European manufacturers alongside Moroccan production zones. Renault and Stellantis maintain an established manufacturing presence within the country.
Energy storage represents the second pivotal market. Morocco, Africa, and Middle Eastern regions benefit from approximately 300 annual sunshine days. This climatic advantage creates exceptional growth potential for renewable energy storage solutions.
Last year, two-thirds of Gotion's revenue originated from energy storage applications. Mobility accounted for the remaining third. Residential energy storage markets are projected to explode over the forthcoming decade.
The project represents one component of extensive Chinese investment proliferation across Morocco. Chinese automotive investments have reached approximately $10 billion in recent years through Belt and Road Initiative financing.
Beijing now views Morocco as a critical gateway to European markets, allowing Chinese firms to bypass tariff barriers. The country's advanced transport infrastructure — including the Tangier-Med port — along with abundant phosphate reserves vital for battery production, enhance its industrial attractiveness.
Morocco's swift transition to clean energy further boosts its appeal to foreign investors. Strategically located just south of Europe, Morocco benefits from its proximity and its comprehensive free trade agreement with the European Union — making it an increasingly valuable partner in global supply chains. Tags: chinese investments in MoroccogigafactoryGotion High-Tech
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