French automobile manufacturer Renault has launched a car manufacturing unit in Algeria, which is equipped to produce 25,000 vehicles annually
The new unit will produce the Renault Symbol – an upgraded version featuring a GPS navigation system.
The plant is located in Oran, on the northwestern Mediterranean coast of Algeria. Renault owns 49 per cent of the factory, after making an investment of US$62mn. Additionally, it has hired 350 staff to train them at Renault-Nissan alliance plants across the world, stated officials.
The company is planning a second phase to the unit, which will increase production to 75,000 vehicles annually.
Renault officials added that the company holds a 25.5 per cent market share in Algeria. It sold 425,000 vehicles in 2013. Algeria is the second largest automotive market in the continent and the tenth largest globally for the car manufacturer. Guillaume Josselin, sales chief of Renault in Algeria said, “I think it’s a market that can exceed 500,000 units a year."
In addition to Algeria, the company also has two factories in Morocco. IHS Automative stated that Renault is keen to expand sales in North Africa, where new car sales are likely to reach 880,000 units by 2015.
