The project of a factory of the South Korean car manufacturer Hyundai in Algeria is confirmed. The South Korean manufacturer thus displays its desire to expand its vehicle production capacities in Africa and the Middle East, thanks to its future Algerian factory.
A year ago, Hyundai presented to the Algerian government a car manufacturing project in Algeria for an investment of $ 400 million. After receiving the preliminary agreement from the authorities, the manufacturer plans to launch its factory by 2027.
A automotive assembly plant “ Fully dismantled (CKD) »By 2027
According to sources in the automotive industry, cited last Friday by the specialized media The Corea Economic Daily, Hyundai plans to open a automotive assembly plant “ Fully dismantled (CKD) In Algeria by 2027, in partnership with the Omanais group Saud Bahwan.
The two companies are expected to invest around $ 400 million in the factory, which will produce compact SUV vehicles and very popular tailgate cars in the region, according to the same source.
The new Hyundai factory in Algeria will be located on the old Sovac (Volkswagen) site in Relizane in the west of the country. Currently, the South Korean car manufacturer seeks to obtain the final agreement of the Algerian government for the construction of the factory by the end of next year.
Once launched, this production unit will be the fourth production base of Hyundai in Africa and will thus serve as a gateway to the manufacturer at the African automotive market, where 1.05 million vehicles were sold in 2024, according to the international organization of car manufacturers.
The Hyundai factory in Algeria will be the fourth of the manufacturer in Africa
The approach of the South Korean giant in Algeria is part of its ambition to cover a large part of automotive demand on the continent, in addition to existing production sites in South Africa, Ghana and Ethiopia.
The sources cited by the South Korean media therefore confirm the announcement made last July by the senator of the group of ” independent To the Council of the Nation (Senate), Bettahar Lazreg, about the imminent launch of the Hyundai factory in Algeria.
« It’s official, the Hyundai factory will be located at the Sidi Khettab industrial zone on the old Volkswagen site “, In fact announced the member of the Council of the Nation in a press release released on July 16.
Last May, a meeting took place between the Minister of Industry and Representatives of Omanais Investors Partners of the Hyundai factory project. And after obtaining approval to make vehicles in Algeria, the manufacturer intends to speed up the installation of its unit to launch production.
