Stellantis has partnered with five local suppliers, enabling the plant to achieve more than 10% local integration rate, one year ahead of regulatory requirements. Partnerships have been established with two universities and seven training centers to support the talents shaping the future of the Algerian automotive industry. The plant’s extension project, incorporating body welding and painting (CKD), is 40% complete and expected to be finalized in 2025.
Tafraoui’s first anniversary
Stellantis celebrates the first anniversary of the Fiat Tafraoui plant, marking a pivotal year characterized by ramped-up production activities, industrial skill development, strategic partnerships, and the creation of a local supplier network.
“The first anniversary of the FIAT Tafraoui plant represents a significant milestone in our commitment to Algeria and our strong strategy based on the principle of ‘in the region, for the region.’ In just one year, we’ve demonstrated our ability to produce locally with excellence, develop Algerian talent, and lay the groundwork for a competitive industrial ecosystem. Our ambition is clear: to make Algeria a strategic hub for Stellantis in Africa by leveraging increased production capacity and sustainable partnerships. These achievements reflect our vision of a promising industrial future that serves both Algeria’s economy and the region.” – Samir Cherfan, Stellantis Chief Operating Officer, Middle East & Africa.
Steady growth since its opening
Since its inauguration on December 11, 2023, the Fiat Tafraoui plant has achieved significant milestones, showcasing Stellantis’ commitment to making Algeria a strategic pillar of its growth in Africa.
In just one year, the plant began production of the Fiat 500, and by June 2024, launched a second automated assembly line dedicated to producing the FIAT Doblò. In November, a fourth shift was introduced, enabling continuous production at a rate of 17 vehicles per hour. This acceleration is projected to deliver a total production volume exceeding 18,000 vehicles by the end of December 2024.
In 2024, the plant welcomed 1,650 employees who benefited from 170,000 hours of training provided in partnership with the National Specialized Institute for Vocational Training in Belgaid, Oran. Additionally, apprentices from six other training centers in the Oran region participated in practical internships at the FIAT Tafraoui plant in various specializations.
Beyond its workforce, Stellantis is actively investing in the training of future talent. In partnership with the Institute of Applied Sciences and Technology (ISTA) at the University of Technology of Oran, the company launched Algeria’s first work-study master’s program in “Production Unit Management.” Similarly, a partnership with the National Polytechnic School of Oran (ENPO) established a specialized program for the mechanical industry, offering students hands-on experience at the plant.
Stellantis’ industrial strategy in Algeria
Stellantis’ industrial development in Algeria is based on a deeply rooted and sustainable localization strategy. The company has also initiated the creation of a local supplier ecosystem to support its industrial project. In April 2024, the first International Supplier Convention held in Oran brought together key players in the global automotive supply industry. This forum resulted in the selection of four Algerian suppliers – FERRUZ, IRIS TYRES, IDE-NET, and GHAZAL – later joined by SAREL INDUSTRIES in December.
Thanks to these partnerships, Stellantis achieved a local integration rate of 10% as early as 2024, one year ahead of the regulatory threshold.
To meet the requirements of the automotive construction specifications, Stellantis launched expansion work at the plant in March 2024 to integrate welding and painting facilities. The progress has surpassed 40% and is expected to be completed by 2025.
This extension will increase the plant’s capacity and initiate CKD (Completely Knocked Down) production of FIAT vehicles.
Following this successful first year, Stellantis aims to produce 60,000 vehicles in 2025 and 90,000 in 2026, with a targeted integration rate exceeding 30%. This project aligns with the “Dare Forward 2030” strategy, aiming to position Stellantis as a value creation leader by the end of the decade.
The FIAT Tafraoui plant, at the heart of this ambition, embodies Stellantis’ vision for sustainable and inclusive industrial development, contributing not only to Algeria’s economy but also to the growth of Africa’s automotive industry.