Nissan has plans to enter a joint-venture agreement with Groupe Hasnaoui that will see a total investment of some $160-million in a new Nissan plant in Algeria to “meet growing customer demand in the country and across Africa”.
The Japanese firm says the new facility will have the capacity to build 63 500 passenger cars and light commercial vehicles a year, and will produce “several” as yet unidentified models. According to Nissan Algeria’s website, just four models (the Micra, Sunny/Sentra, Qashqai and X-Trail) are currently offered in the country.
Nissan says the new plant forms part of its plan to double its presence in the Africa, Middle East and India region by 2022.
The plant is expected to create at least 1 800 jobs in Algeria and “support many more in the supply chain”. Nissan says it will send teams from Japan to work with suppliers in the country to develop the local component industry through “technical support, training and skills exchange”.
“Nissan will bring new models and innovative technology to meet the growing expectations of customers in Algeria,” said Peyman Kargar, senior vice president and chairman of the Africa, Middle East and India region for Nissan.
“Working with Groupe Hasnaoui, we already have a strong heritage of excellent products and service in the country. Using our Japanese engineering expertise, we will build a manufacturing hub and work to develop the supplier industry.”
When the new plant in Algeria comes online, it will increase Nissan’s total potential capacity in Africa to about 200 000 units, which includes existing factories in Egypt, Nigeria and, of course, South Africa. In addition, in November 2018, Nissan signed a memorandum of understanding with Ghana, confirming its plan to establish an automotive assembly plant in the West African nation.