French automaker PSA, Moroccan gov’t seal technology transfer deal

French carmaker PSA and Morocco’s car technology industry center (CETIEV) joined efforts to boost research and development in the country, a move that would result in technology transfer.

Key to Morocco’s industrial strategy is technology transfer through attracting large-scale investments that spur the growth of local suppliers in order to increase the rate of locally produced parts in Morocco-made cars.

Under this new partnership, signed by Moroccan government and PSA, technical equipment will be made available for research purposes involving 60 engineers and technicians whose output will be used by PSA.

PSA plans to hire 1100 staff for its R§D department by 2021 in addition to 3600 engineers and technicians.

PSA officially opened its €557 million plant in Kenitra earlier this year with the goal of making 100,000 cars by 2020.

One dirham in two received from industrial exports are generated by the automotive sector which topped Morocco’s industrial exports in 2018.

PSA factory will further boost Morocco’s car industry leadership in Africa. In 2018, Morocco overtook South Africa as the continent’s largest car manufacturer with 402,000 cars.

Another French automaker, Renault, is making 12% of its cars globally in its Tangier plant.