First in Africa. Opel becomes the first car manufacturer to produce engines in Algeria
German carmaker Opel is taking a major strategic step outside the European continent. At the Germany-Algeria Economic Forum in Berlin, the Stellantis Group brand officially announced plans to build a new plant in the North African state, where both vehicles and engines will be assembled.
Industrial premiere in Algeria
The plans were made concrete with the signing of a memorandum of understanding (MoU) between Florian Huettl, CEO of Opel, and Mohamed Fawzi El Kabir, director of partner company AGM Holding. The document confirms the integration of a local engine production line into the German brand's future industrial footprint.
With this agreement, Opel becomes the first car manufacturer in the world to produce engines in Algeria. The project complements the presence of the Stellantis group in the region, which inaugurated a plant in the city of Tafraoui at the end of 2023, where models of the Italian brand Fiat are currently assembled, including the new Grande Panda.
“The signing of this memorandum of understanding represents a strategic milestone as we continue to expand our footprint outside of Europe,” said Florian Huettl, highlighting the dialogue held with the President of Algeria and the significant potential that this market offers the brand.
What relations does Opel have with Romania?
Although Opel does not have its own vehicle assembly plant in Romania — local car production being concentrated in Mioveni (Dacia) and Craiova (Ford Otosan) —, the German brand's connection with our country is a deep one, built on several levels:
- A historic presence on the automotive market: Opel has been one of the most popular brands in Romania for decades. Models such as the Opel Astra, Corsa, Vectra or Zafira dominated the new car sales charts in the 2000s, and on the second-hand market, the Astra has remained among the most sought-after cars by Romanian drivers for years.
- Integrated in the national supply chain (OEMS): Even though Opel cars are assembled in factories in Germany, Spain, Poland or, more recently, Algeria, a significant part of their components (electronic systems, wiring, braking components, plastic subassemblies or tires) are produced in the factories of major automotive suppliers in Romania (such as Continental, Bosch, Schaeffler or Autoliv) in industrial hubs such as Timisoara, Sibiu, Brasov and Arad.
- Stellantis commercial network: Currently, the Opel brand's operations in Romania are integrated into the official import and distribution structure of the Stellantis group, benefiting from an extensive national network of showrooms, after-sales services and authorized service centers.
