Algeria alarmed by huge Chinese investments going to Morocco

As a growing number of giant Chinese companies chose to invest in Morocco for its political stability and competitive assets, the Algerian regime became extremely worried to see its neighboring country taking the lead and thriving while Algeria is lagging behind and sinking into the abyss.

In a desperate move to address the situation, Algerian foreign minister Ahmed Attaf rushed on Wednesday to Beijing to meet with his Chinese peer M. Wang Yi. The primarily goal of his trip was not the Palestinian issue as reported by Algerian public media but to lure Chinese investors with attractive but unrealistic deals which very often fail due to corruption, administrative procedures, unfavorable business market …

Attaf’s Chinese visit took place the same day Morocco’s top diplomat Nasser Bourita conferred with M. Wang Yi. It is not a coincidence. It shows the dirty tactics of the ruling Algerian junta which used the same sweetening strategy in Kenya and Senegal to gain support but suffered humiliating diplomatic setbacks.

Since 2022, trading between Morocco and China grew by more than 50%, reaching $7.6 billion. China has partnered with the North African Kingdom in several strategic projects including the Mohammed-VI Tanger Tech City, which aspires to make Tangier a major competitive industrial hub.

Furthermore, China supports more than 80 projects in Morocco. In 2023, the total Chinese investment injected in Morocco’s automotive industry record $9.5 billion, leaving Algerian rulers grinding their teeth.

During the past decades, Algeria was China’s leading economic and trading partner in Africa. According to latest official data, trade between the two countries fell to $7.3 billion in 2021 from $12.3 billion recorded in 2017, showing a shift in Chinese investment in the Maghreb, making the Algerian regime extremely nervous about the momentum of Moroccan-Chinese economic cooperation.

Morocco’s strong economic presence across the African continent and strategic projects launched in Africa has pushed Beijing to strengthen partnership with the North African Kingdom.

As a major investor in Africa, China is undoubtedly interested in the Morocco-Nigeria gas pipeline project, expected to bolster the economies of 13 West-African countries and the “Atlantic African States” Initiative launched by King Mohammed VI to enhance cooperation ties & integration between African countries bordering the Atlantic for shared prosperity and peace and stability.

China is also zooming on the Royal Initiative offering Atlantic Ocean access to Sahel countries to help them unleash their full potentials, address their economic and development challenges by channeling investments.

These landmark projects show that Morocco’s African engagement is based on solidarity & South-South cooperation and win-win partnerships. They also reflect Morocco’s farsighted vision seeking to catalyze regional growth and development to counter terrorism threats.

While Moroccan initiatives in Africa are gaining a strong international support, the Algerian rulers are struggling to catch up with the new world order taking shape, after having missed several regional integration opportunities and deepening their isolation.