Less than two years after the inauguration of its Tafraoui plant in Oran, Stellantis has celebrated a landmark achievement in Algeria with the launch of the country’s first Complete Knock Down (CKD) vehicle production.
The Fiat Grande Panda, now assembled locally with bodywork and painting carried out on site, underscores the company’s ambition to establish Algeria as a major automotive hub for Africa.
The expansion forms part of Stellantis’s regional strategy to produce one million vehicles across Africa and the Middle East by 2030.
The Tafraoui plant, spread over 80 hectares, has demonstrated rapid growth since its opening. After producing 18,000 vehicles in 2024, it is targeting 60,000 units in 2025 and 90,000 in 2026. With the introduction of a fourth shift, production capacity has now reached 17 vehicles per hour.
The completion of ironworks and paintwork facilities has allowed Stellantis to claim genuine local manufacturing for the first time in Algeria’s automotive industry. Employment at the site is also set to rise, from 1,650 workers today to 2,000 by 2026.
Stellantis is pursuing what it calls “deep localization.” The current local integration rate of 20% is expected to reach 30% by 2026, two years ahead of Algeria’s regulatory timetable. Investments have already surpassed €200 million, involving partnerships with companies including FERRUZ, IRIS TYRES, IDE-NET, and SAREL INDUSTRIES.
The group has also strengthened its cooperation with Italy’s Sigit, alongside ENPC/Siplast, to manufacture plastic components locally for the Oran site. This strategy, according to Stellantis, reflects its commitment to “producing in the region for the region.”
Beyond vehicle production, Stellantis is expanding into mobility services. A partnership with Algerian firm IDENET, which specializes in GPS systems and taximeters, aims to modernize urban transport and broaden the company’s role in the mobility ecosystem.
Samir Cherfan, Stellantis’s Chief Operating Officer for the Middle East and Africa, highlighted the company’s approach: “We are committed to African industrial development through strategic partnerships and local investments that meet the real needs of the continent’s citizens.”
The Tafraoui plant’s achievements were recently recognized when Raoui Beji, Managing Director of Stellantis Algeria, received the Africa Automotive Show Award. FIAT CEO Olivier François also praised the new locally assembled Grande Panda, calling it a “new chapter of the FIAT adventure on the African continent.”
By positioning Algeria as an export platform under the African Continental Free Trade Area, Stellantis is not only reducing reliance on imports but also creating skilled jobs and building a competitive subcontracting base.
For Stellantis, Algeria is becoming both a symbol of industrial sovereignty and a springboard to the wider African market—a success story it hopes to replicate across the continent.
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