Gotion High-Tech turns its back on Europe and will finally plant its new battery factory in Morocco

The Chinese electric car battery company, Gotion High-Tech, has not hidden in its latest communications its intention to settle on the Old Continent. His initial approach contemplated the construction of a factory with which to supply the European brands with which they are currently associated, such as the Volkswagen Group, for example. However, Morocco would also have been in this equationa country that has finally taken victory in this contest.

A report of Reuters He has been the one who has given light to this ‘tug of war’ between the African country and the different European options that the Chinese company managed. Specifically, the Moroccan government has confirmed some data in this regard. Among them, they have pointed out that The investment in it will be 1.2 billion euros (12.8 billion dirhams).

Gotion High-Tech finally decides on Morocco

A priori, all indications point to the fact that, in the beginning, these facilities will have an annual production of 20 GWh. However, the Moroccan Prime Minister’s office also specifies that they will have complete freedom to expand in the future to achieve a production of up to 100 GWh.

Both levels, both the country’s executive and the leadership of the company itself, have reached an agreement by which the company will finally settle in its territory. One of the strong points of this agreement would be its proximity to Europe, as well as the cost of labornotably lower than what they should offer if they settled in the Old Continent.

The existing free trade agreements between the European Union and the United States with Morocco would also have had a lot to do with this decision. Thanks to this, the African country is becoming the focus for many large productive companies. Let us remember that vehicles from Dacia or Stellantis, among others, are produced in this region, and everything indicates that Gotion’s decision will not be the last to come to the fore.

There are several Chinese manufacturers that are already looking at Morocco as a strong point for their future productions. Specifically, firms such as BTR New Material Group, CNGR Advanced Material, Hailiang and Shinzoom, among others, have announced their intention to establish their new Western facilities in the country. This potential has made Morocco’s main export sector the automobile industry, with a total of 14 billion dollars in 202327% more than the previous year.

Despite everything, Gotion High-Tech has not yet commented on its new facilities in Morocco, but, as we have already mentioned, most of this information comes from the prime minister’s office. Other relevant data remains to be revealed, such as the date for the start of construction or when operations will begin there. These data should be made public in the coming weeks.