Morocco’s industrial and construction sectors displayed overall recovery during the third quarter of 2025 despite marked disparities across branches, with generally favorable prospects for the fourth quarter, according to the High Commission for Planning’s latest economic outlook.
Manufacturing production advanced during the third quarter, driven by chemical industry, food industry, and non-metallic mineral products manufacturing. Conversely, automotive industry and electrical equipment manufacturing declined, slowing overall momentum. Despite partial recovery, nearly one-third of manufacturing companies, 29 percent, reported difficulties securing raw materials, particularly imported supplies.
Capacity utilization reached 75 percent, while treasury situations were judged difficult for 20 percent of business leaders, rising to 45 percent in textiles. The extractive sector, supported by phosphates, saw production and prices increase though employment declined. Similar trends marked the energy sector, where electricity, gas, steam, and air conditioning production and distribution progressed with rising prices but decreasing employment.
Construction remained the secondary sector’s primary driver. Third quarter activity progressed through civil engineering and specialized construction work dynamism, while building construction stabilized. Capacity utilization reached 71 percent with employment rebounding, though 21 percent of business leaders reported difficult treasury conditions.
Industrialists anticipate fourth quarter acceleration, particularly in automotive, chemical, and food industries. Only electrical equipment manufacturing and paper and cardboard industry branches forecast contraction. Employment levels should remain stable. The extractive sector expects production decline due to phosphate reduction, though employment should progress.
Construction will remain a principal growth lever, with anticipated civil engineering and specialized construction work increases alongside building construction stabilization. Companies also envision employment increases, suggesting continued sector contribution to economic expansion and job creation during the final quarter.
