Morocco is carefully evaluating a Chinese proposal to launch free trade negotiations, as authorities weigh the potential benefits against risks to domestic industry and existing trade commitments, Industry and Trade Minister Ryad Mezzour said.
China has formally suggested a bilateral free trade agreement, but Rabat is proceeding cautiously, conducting impact assessments before deciding whether to enter talks, Mezzour told Bloomberg.
Officials are examining how such a deal could affect Moroccan manufacturers, export prospects and the kingdom’s extensive network of trade agreements, he said.
A deal with China could open new opportunities for Moroccan exporters by easing access to one of the world’s largest consumer markets and helping diversify exports beyond Europe, Morocco’s dominant trading partner, he said.
But consultations with businesses and public institutions would be required before any negotiations begin, underscoring concerns about the competitive pressure Chinese imports could exert on local industries, the minister said.
Any potential deal would need to include safeguards for sensitive sectors in Morocco and ensure that local firms remain competitive, he said.
Morocco has positioned itself as a global trade hub, with preferential agreements covering around 50 to more than 60 partner countries, including major deals with the European Union, the United States and regional blocs such as the Pan-Arab Free Trade Area and the Agadir Agreement.
The free trade proposal comes amid rising Chinese investment in Morocco, particularly in sectors linked to electric vehicles and battery supply chains. In recent years, Chinese firms have committed billions of dollars to develop industrial projects in and around Tangier and Kenitra, reinforcing Morocco’s ambition to become a regional manufacturing hub tied to European markets.
However, this surge in investment has drawn increasing scrutiny from the European Union. Policymakers in Brussels fear that Morocco could become a gateway for Chinese manufacturers to access European consumers while sidestepping tariffs imposed on goods imported directly from China.
The EU has already imposed tariffs of up to 45% on Chinese electric vehicles and is closely monitoring whether rules of origin are being respected in North African supply chains.
Moroccan authorities have rejected such concerns, insisting that products exported under its trade agreements must meet strict local transformation criteria and comply with international trade rules.
In parallel, Rabat is exploring other trade initiatives, including a possible agreement with Chile aimed at strengthening access to Latin American markets, the minister said.
