Nexteer Automotive opens its 27th plant and first in Africa, a 107,000-sq.-ft. (10,000-sq.-m) facility in Kenitra, Morocco.
The plant will manufacture electric power steering systems for PSA Group, as well as driveline systems for FCA, PSA Group and the Renault-Nissan-Mitsubishi Alliance, Nexteer says in a news release.
Construction began in first-quarter 2018 and was completed in nine months. Production begins in September. Nexteer is installing machinery now and expected to hire 500 employees by 2020.
The systems produced at the Kenitra plant for PSA Group will include single-pinion EPS technology currently featured in A-C segment vehicles for Nexteer customers including BMW and PSA Group. Driveline systems to be produced at this plant will include halfshafts for new generations of FCA, PSA Groupe and Renault-Nissan-Mitsubishi models.
“Nexteer’s new Morocco plant is another milestone in our ongoing plan for global footprint diversification and expansion in regions strategically important to our key customers,” says Tao Liu, Nexteer global chief operating officer. “As Nexteer’s first plant in Africa, this facility will enable us to further support customer needs for our industry-leading motion control solutions across Africa and Europe.”
Moulay Hafid Elalamy, Moroccan Minister of Industry, adds: “With this new establishment, a new highly technological craft is being developed in the Kingdom and hence contributes to the integration of the value chain and the ascent of the Moroccan automotive industry.”