Stellantis celebrates milestone year for Fiat factory in Oran
Automotive giant Stellantis has hailed the first year of operations at its Fiat factory in Tafraoui, Oran, Algeria, as a “decisive and positive” step toward transforming the country into a strategic automotive hub for Africa.
The facility, which began operations in December 2023, has already made significant strides in production, workforce development, and local integration.
The Tafraoui plant, which launched production with the Fiat 500 and later added a second automated line for the Fiat Doblo, is expected to produce over 18,000 vehicles by the end of 2024.
This figure is set to rise to 60,000 vehicles in 2025 and 90,000 in 2026, with a targeted local integration rate of more than 30%.
Investing in Local Workforce and Infrastructure
Over the past year, the plant has recruited 1,650 new employees, who received 170,000 hours of training in partnership with Algeria’s National Institute for Specialized Vocational Training in Belgaïd.
Additionally, trainees from six regional centers have gained hands-on experience at the facility, enhancing their expertise in various technical fields.
Stellantis has also collaborated with academic institutions, including the National Polytechnic School of Oran and the University of Oran’s Institute of Applied Sciences and Technologies, to develop specialized programs in mechanical engineering and production management.
These initiatives aim to build a skilled local workforce capable of supporting the industry’s long-term growth.
Advancing Localization Goals
As part of its commitment to developing a robust local ecosystem, Stellantis hosted its first international suppliers’ meeting in Oran in April 2024.
The company has partnered with five Algerian suppliers, enabling the factory to achieve a local integration rate of over 10%—one year ahead of regulatory requirements.
Expansion efforts are also underway to enhance the plant’s capabilities. Construction projects to add welding and painting facilities have reached 40% completion and are expected to finish in 2025.
These additions will enable the factory to shift to the CKD (Completely Knocked Down) production system, further boosting output and local sourcing.
A Vision for Algeria’s Automotive Future
Samir Cherfan, Stellantis’ Chief Operating Officer for the Middle East and North Africa, emphasized the company’s long-term vision for Algeria.
“Our ambition is clear: to transform Algeria into a strategic hub for Stellantis in Africa,” he stated.
“This reflects our commitment to a deeply localized and sustainable industrial strategy that benefits the Algerian economy and the region.”
With its ambitious targets and growing partnerships, Stellantis aims to position Algeria as a leader in Africa’s automotive industry while driving economic growth and innovation in the region.