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AfDB Invests €100 Million in Morocco’s First EV Battery Gigafactory

Powering Africa’s Electric Mobility Future

The African Development Bank (AfDB) has approved a €100 million loan to finance the development of an integrated electric vehicle battery gigafactory in Morocco. This marks a significant step towards establishing local manufacturing capacity for clean energy technologies on the continent.

The facility, located in the Rabat-Salé-Kénitra Free Trade Zone, will be developed by Gotion Power Morocco—a subsidiary of global battery manufacturer Gotion High-Tech Co., Ltd.—and is expected to produce 10 gigawatt-hours (GWh) of battery cells and packs initially, with plans to expand to 100 GWh.

Strategic Implications for Africa’s Energy Transition

The AfDB anticipates that this project will deliver several key benefits:

  • Reliable energy storage: Battery storage is viewed as a critical missing link in Africa’s clean energy transition, enabling greater integration of solar and wind power.
  • Green industrial jobs: The gigafactory is projected to create over 600 direct jobs in its initial phase.
  • Local value chain development: With an expected 70% local industrial integration rate, the project will support skills development and strengthen regional supply chains.
  • Competitive advantage: Morocco aims to become a leading hub for electric mobility and green technology manufacturing.

“This facility strengthens the foundations for large-scale renewable energy integration while creating green jobs and building resilient value chains that Africa needs,” said Kevin Kariuki, AfDB Vice President for Power, Energy, Climate, and Green Growth. The bank plans to mobilize an additional €141 million from financial partners to support the project’s implementation.

Beyond Morocco, this investment signals a broader trend toward industrializing clean energy supply chains within Africa—reducing reliance on imports and creating new economic opportunities in high-growth sectors.

Written with the assistance of AI. Reviewed and edited by the AfricanCEO editorial team.

Source: technext24.com

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