• Jiangsu Yunyi Electric will build a wholly owned automotive components plant in Morocco.
• The project will require an investment of $66 million, according to the company.
• Morocco continues to attract Chinese manufacturers seeking access to EU and U.S. markets.

Chinese automotive component manufacturers have stepped up investment announcements in Morocco as they seek to leverage the benefits of the North African country’s free trade agreements with the European Union and the United States.

Chinese automotive supplier Jiangsu Yunyi Electric said in a statement published on Tuesday, December 30, 2025, that its board of directors approved the construction of a factory in Morocco with an investment of $66 million.

“After deliberation, the board of directors concluded that the establishment of a wholly owned subsidiary in Morocco represents a crucial step in expanding the company’s global presence,” the company said.

The manufacturer, which specializes in the production and sale of automotive electronic components, said the new subsidiary would allow it to “build a production base, refine overseas operations, establish integrated global delivery capabilities, and inject strong momentum into the company’s sustainable and high-quality development, thereby serving the interests of all shareholders.”

The company also said it plans to “fully leverage local resources and industrial synergies by deepening cross-border cooperation.”

Founded in September 2022, Jiangsu Yunyi Electric produces automotive alternator rectifiers, voltage regulators, semiconductors, nitrogen oxide sensors, lambda sensors, and precision injection components.

Morocco has attracted a growing number of Chinese automotive component and electric battery manufacturers in recent years, including Gotion High Tech, Guangzhou Tinci Materials Technology, and BTR New Material Group.

Beyond proximity to Western and African markets, these companies benefit from the availability of a skilled local workforce and strong logistics performance at Moroccan ports.

In addition, Chinese manufacturers can take advantage of Morocco’s free trade agreements with the European Union and the United States.

Morocco already hosts a major automotive ecosystem that includes global carmakers such as Stellantis and Renault, alongside several hundred local and foreign equipment suppliers.

This article was initially published in French by Walid Kéfi

Adapted in English by Ange Jason Quenum