Sentury Tire: The Tangier Plant Targets Renault and Stellantis by 2027
Chinese tire manufacturer Qingdao Sentury Tire is set to take a significant step forward in Morocco. Its factory located in the Cité Mohammed VI Tanger Tech is expected to begin supplying original equipment tires to Renault and Stellantis by 2027, with both companies already recognized as global clients of the Chinese group.
According to available reports, the industrial project in Morocco is now regarded as complete, while the production lines continue to ramp up before reaching their nominal capacity.
This development could enhance the role of the Tanger site within the Moroccan automotive ecosystem, expanding its activities from the replacement market to the original equipment sector.
A factory designed to produce 12 million tires per year
Spanning approximately 200,000 square meters in the Cité Mohammed VI Tanger Tech, Sentury Tire’s factory is designed to produce up to 12 million radial tires annually for passenger cars and light commercial vehicles.
The site is strategically located about 35 kilometers from the Tanger Med port complex, providing an advantageous position for exporting and supplying to international markets.
Thus far, most of Sentury’s foreign production was aimed at the replacement market. With the anticipated arrival of Renault and Stellantis, the Moroccan factory can now integrate directly into the supply chains of the automotive industry established in Morocco.
Renault operates a factory in Tanger, while Stellantis has its industrial complex in Kénitra.
The Moroccan project is now deemed complete
In its latest financial communications, Sentury categorizes the Moroccan program among its completed projects. However, this designation does not imply that the factory is currently operating at full capacity.
The production lines are still gradually increasing their output, and fixed unit costs remain relatively high until production reaches its nominal level.
Nevertheless, the group indicates that the financial situation of its Moroccan subsidiary has significantly improved. After recording a loss in 2025, the site returned to profitability in the first half of 2026.
On August 19, Sentury reported an increase in its Moroccan lines’ utilization rate, with orders even exceeding available capacity at times.
1.9 billion yuan already invested in Morocco
The financing of the project illustrates the scale of the investment made by the Chinese group.
In 2023, a stock issuance allowed Sentury to raise 2.8 billion net yuan, originally intended for the construction of a similar factory in Spain.
In light of uncertainties surrounding the acquisition of the Spanish construction permit, the group decided in May 2024 to redirect these funds to Morocco.
As of June 30, 2026, approximately 1.9 billion yuan had been effectively invested in the Moroccan project, accounting for 67.2% of the adjusted budget.
Once the project was regarded as complete, Sentury reallocated 994.7 million yuan of unused funds to its current cash flow, and the accounts specifically opened for financing the operation were subsequently closed.
The Tanger site returns to profitability
The industrial ramp-up is now beginning to reflect in the financial results of the subsidiary.
As of June 30, 2026, the Moroccan entity held approximately 4.3 billion yuan in assets, representing 31.3% of the group’s equity. Its net assets reached 637.8 million yuan.
In the first half of the year, the Moroccan subsidiary generated a positive result of 12.1 million yuan.
This return to profitability marks a significant shift from 2025. The previous year, the Moroccan operation generated about 576 million yuan in revenue but recorded a net loss of nearly 47.5 million yuan.
This situation was linked to the startup phase of the factory, substantial fixed costs, and the accumulation of necessary inventory for the gradual increase in production.
A strategic ramp-up for Renault and Stellantis
The goal of supplying Renault and Stellantis starting in 2027 adds a new dimension to the development of the Tanger factory.
Original equipment requires not only regular volumes but also high-quality standards and adherence to automakers’ supply timelines. Continuing to ramp up production at the Moroccan facility will therefore be crucial for Sentury to meet this demand.
The Chinese group already has a commercial relationship with both manufacturers on an international scale. Moroccan production could now bring a portion of this activity physically closer to the automotive plants located within the Kingdom.
Sentury continues its international growth
Globally, Sentury Tire posted revenues of 4.4 billion yuan in the first half of 2026, representing a year-on-year increase of 7.3%.
However, the net profit attributable to shareholders amounted to 420.1 million yuan, down 37.5%, primarily due to rising raw material costs and foreign exchange effects.
International operations remain at the core of the group’s business model. Exports and earnings generated abroad reached 4.1 billion yuan, approximately 93% of total revenue, marking a 9.8% increase.
Industrial output saw Sentury produce 17.1 million tires in the first half of the year, an increase of 10%, while sales rose to 16.6 million units, up 11.9%.
Tanger strengthens the Moroccan automotive ecosystem
Furthermore, the group’s sales structure confirms its positioning in higher-value tires. Tires measuring 17 inches and larger account for about 65% of sales value, while those of 18 inches and above represent nearly 40%.
With industrial facilities in China, Thailand, and now Morocco, Sentury is continuing to diversify geographically in its production.
In Morocco, the factory in the Cité Mohammed VI Tanger Tech could particularly reach a strategic milestone in 2027 with its anticipated integration into the supply chains of Renault and Stellantis.
This development would further strengthen the Kingdom’s position as an automotive hub and could contribute to increasing the locally produced value in vehicles assembled in Morocco.
