Morocco automotive industry expands amid environmental challenges

Morocco's automotive industry is experiencing significant expansion, with production capacity projected to rise from under 60,000 vehicles in 2010 to over one million by 2025. The sector accounted for more than 23% of industrial value added in 2024 and employs approximately 280,000 people.

However, a report by the German agency GIZ highlights environmental challenges within the domestic market. Currently, Morocco lacks mandatory fuel consumption standards, mandatory labeling, and zero-emission vehicle quotas. This is notable as the transport sector accounts for 35.5% of the country's final energy consumption and over 28% of national CO2 emissions. Between 2010 and 2022, these emissions rose from 14.2 to 17.9 million tonnes of CO2 equivalent.

The domestic market remains heavily reliant on imports, which represented 85.6% of sales in 2023. The national vehicle fleet has also grown substantially, increasing from 2.68 million vehicles in 2015 to 4.47 million in 2023.