Economy

Batteries: Morocco and Egypt Explore a New Factory

Morocco could welcome a new industrial unit dedicated to electric batteries as part of efforts to strengthen economic cooperation with Egypt. Investors from both countries are currently exploring the possibility of developing a factory in the Kingdom, according to information shared on October 2, 2026, by the Egyptian-Moroccan Business Council.

Still in the study phase, the project comes as Morocco accelerates the establishment of an industrial ecosystem centered around electric mobility, battery materials, and components necessary for next-generation vehicles.

Morocco Strengthens Its Battery Ecosystem

The proposed project between Moroccan and Egyptian investors is part of an ongoing industrial dynamic in Morocco. Several investments have indeed been announced in recent years aimed at battery materials and components.

In Jorf Lasfar, COBCO is developing a platform dedicated to active battery materials, with a total investment of 20 billion dirhams announced for a site covering over 238 hectares.

This complex is expected to produce NMC precursors for cathodes as well as LFP materials. The announced capacities reach 120,000 tons per year for NMC precursors and 60,000 tons for LFP cathodes.

These projects are gradually expanding Morocco’s industrial positioning. The Kingdom is no longer limited to automotive assembly activities and is now seeking to develop additional upstream value chain links, particularly in materials, chemistry, batteries, power electronics, and electrical systems.

An Industrial Chain Beyond Batteries

The growing battery sector is also driving the development of numerous related industrial professions. Chemistry, metallurgy, electrical equipment, electronics, automation, logistics, and materials processing are among the sectors that are likely to benefit from this momentum.

In this context, the potential establishment of an Egyptian industrial player could complement the investments already made or announced by other international groups in Morocco.

Such cooperation would also provide opportunities for businesses in both countries. Egyptian investors could leverage Morocco’s industrial platform to access European and African markets, especially by taking advantage of the Kingdom’s port infrastructures and various trade agreements.

For Moroccan industries, cooperating with Egyptian partners could simultaneously ease access to the Egyptian market and foster the creation of new supply chains and industrial partnerships.

A Project Still in the Study Phase

At this stage, no specific details have been communicated regarding the future project. The investment amount, the potential factory location, its production capacity, and its timeline remain to be defined.

Therefore, this initiative should be considered as a potential avenue for industrial cooperation currently under study, rather than a firmly committed investment.

Nonetheless, its announcement serves as a new indicator of the growing interest in Morocco’s battery ecosystem. After developing a highly integrated automotive industry, the Kingdom is now looking to bolster activities related to electric technologies and strategic materials.

If the Egyptian-Moroccan project materializes, it could thus introduce a new player into an evolving value chain and strengthen industrial links between Morocco, Egypt, and, more broadly, the African and Arab markets.

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