Algiers – Agreements aimed at developing the local spare parts industry by Algerian subcontractors and gradually integrating them into the national vehicle manufacturing industry were signed on Tuesday in Algiers.
The agreements were signed at the headquarters of the Ministry of Industry, in the presence of the Minister of Industry, Sifi Ghrib, and the Minister of Knowledge Economy, Startups, and Small Enterprises, Noureddine Wahid.
These include a Memorandum of Understanding (MoU) between the Ministry of Industry and 13 vehicle manufacturers, both foreign and local, with the aim of incorporating locally produced spare parts and supporting producers in this sector to obtain certification and accreditation for their products.
Additionally, subcontracting agreements were signed between “Stellantis Algeria” and the startup “Ednat”, specialized in cables, as well as between the same company and “Algeria Ham Motors”, which specializes in plastic components. These agreements aim to supply the Fiat plant in Oran with locally manufactured parts, accessories, and assemblies.
A Strategic Step Toward Industrial Sovereignty
On this occasion, the Minister of Industry stated that the MoU signed between his ministry and vehicle manufacturers in Algeria represents a “pivotal step” taken within the framework of implementing the high directives of President Abdelmadjid Tebboune. These directives aim to establish a genuine and sustainable vehicle manufacturing industry based on significant local integration.
He added that this step reflects a “strong will to reduce external dependency and enhance the competitiveness of our products.” It also ensures the achievement of strategic objectives set by the ministry, including:
- Strengthening Local Integration: Enabling manufacturers to rely on locally produced products.
- Ensuring Compliance with Specifications: Focusing on the gradual increase of local integration rates as outlined in regulatory frameworks.
- Promoting the Spare Parts Industry: Providing favorable conditions for component and accessory manufacturers to integrate into national and international production systems.
- Building Effective Collaboration: Establishing cooperation bridges between vehicle manufacturers and spare parts producers to supply the market with high-quality products that meet required technical standards.
Minister Ghrib emphasized that his ministry will work within the framework of this MoU to “support manufacturers in developing supply chains, streamline administrative procedures, and ensure the necessary technical compliance to elevate this industry to higher levels of quality and innovation.”
Mobilizing Startups and SMEs
For his part, Minister Noureddine Wahid confirmed that his sector is “fully committed” to mobilizing startups and small enterprises to meet the needs of industrialists regarding subcontracting in the vehicle manufacturing sector. He expressed pride in his ministry’s participation in “building a national industry with high technical competence and competitive economic value.”
Summary:
The signing of these agreements marks a significant step toward boosting Algeria’s local vehicle manufacturing industry by promoting the domestic production of spare parts and components. This initiative aligns with the government’s broader strategy to reduce reliance on imports, enhance local industrial capabilities, and create a sustainable and competitive automotive sector. By fostering collaboration between manufacturers, startups, and small enterprises, Algeria aims to position itself as a regional leader in the automotive industry while ensuring compliance with international quality standards.
