Morocco Secures Africa’s First Battery Gigafactory in $5.6B Deal with China
Morocco has made a landmark move in Africa’s industrial development by securing the continent’s first battery gigafactory. The $5.6 billion project, led by China’s Gotion High-Tech, will be built in Kenitra, a city already known as an automotive hub, and is set to reshape Morocco’s role in the global electric vehicle (EV) supply chain.
Construction is underway, with the first phase of production expected to begin in the third quarter of 2026. Once operational, the factory will initially deliver around 20 GWh of annual capacity before scaling up to a projected 100 GWh per year. Unlike simple assembly plants, the facility will produce core battery components such as cathodes and anodes, positioning Morocco as more than just a manufacturing base but a player in upstream value creation.
Around 85% of the plant’s output is expected to be exported to Europe, underscoring Morocco’s strategic location as a gateway to European markets. The investment will also bring jobs and skills development to the region. Early estimates suggest 17,000 direct and indirect jobs in the first phase, with more than 10,000 direct roles expected across the project’s lifetime.
The deal is significant on several fronts. It aligns Morocco with global shifts toward renewable energy and electric mobility, diversifies its economy beyond agriculture and light manufacturing, and signals China’s deepening role in Africa’s green technology build-out. For Europe, it offers a closer and potentially more secure battery supply chain as it accelerates its EV transition.
Yet challenges remain. Securing a steady flow of raw materials such as lithium and cobalt, managing environmental impacts, and ensuring affordable and reliable energy for the plant will be critical. There is also the question of how much technical expertise will be transferred locally, and whether Morocco can build the skilled workforce needed to sustain long-term growth in this sector.
Still, the gigafactory marks a major turning point. It positions Morocco at the center of Africa’s emerging role in the global clean energy economy and could spark similar industrial projects across the continent. How Morocco manages execution, skills development, and sustainability will determine if this deal becomes a blueprint for Africa’s green industrial future.
