Renault’s Algerian Plant Struggles as Moroccan Counterpart Thrives

The French manufacturer, with a 49% stake, had partnered with the National Investment Fund (FNI) and the National Company of Industrial Vehicles (SNVI) to give birth to this site, which was supposed to create 350 jobs and produce 25,000 vehicles per year, a Dacia Logan renamed Renault Symbol for the local market.

The initial objective was to ramp up to reach a capacity of 75,000 cars per year. However, the Oran plant was far from matching the ambitions of its Moroccan big sister in Tangier, which was already producing three models (Sandero, Lodgy and Dokker) with a capacity of 400,000 vehicles per year, 90% of which were for export.

Today, the Algerian plant has been at a standstill since 2020, due to a lack of components. Rumors of closure have recently circulated, quickly denied by Rémi Houillons, CEO of Renault Production Algérie. Yet the situation is far from rosy. A drastic adjustment plan, with staff reductions, has been in place since October to ensure the company’s survival.

Renault Algérie Production has been waiting for more than a year for a new approval from the Ministry of Industry, essential to restart production. A relaunch project including new models has been submitted, but is currently facing a wall of silence. "We regret this situation," said Rémi Houillons, aware of the difficulties faced by the employees, who have accumulated 40 months of technical unemployment.

The future of the Oran plant is therefore suspended from the decision of the Algerian authorities. Renault Algérie Production says it is ready to restart and participate in the revival of the country’s automotive industry, but time is running out and the desire to leave for good is there.