Casablanca – Morocco has continued to strengthen its position in the European automotive market, emerging as a significant supplier despite global fluctuations in vehicle production. According to the European Automobile Manufacturers Association (ACEA), Morocco accounted for 4% of total car sales within the European Union (EU) during the first half of 2025, placing it alongside major exporters such as China, Japan, Turkey, and South Korea.

The ACEA report highlights that global car production grew by 3.5% in the first half of 2025, reaching 37.7 million units. Asia was the main driver of this growth, contributing more than 60% of global output. China alone increased production to nearly 13 million vehicles, fueled by government incentives for vehicle replacement programs, relaxed financing conditions, and a recovery in domestic demand.

Despite this global increase, production in Europe contracted by 2.6%, mainly due to a 2.8% decline in EU output. Germany maintained its position as Europe’s largest production hub with a stable 20% share of EU sales, followed by Spain, the Czech Republic, and France. ACEA noted that while European production remains significant, growing imports from outside the EU are gradually reshaping the market landscape.

Morocco’s automotive sector stood out as a regional exception. Production in the country rose by 1.3%, supported by increased investment and expanded export capacity. This growth contrasts with declines observed elsewhere in the Middle East and North Africa, where overall production fell by 3.5%, largely due to reductions in Iran stemming from weak domestic demand and energy supply disruptions.

On the import side, China continued to dominate EU new car imports, accounting for 17.6% of the total import value, with import volumes rising more than 36% to 465,000 units—over a quarter of all non-EU imports. Turkey and South Korea followed, while Moroccan car imports to the EU decreased by over 7% during the first half of the year.

Morocco also made notable gains in the bus segment. The country ranked third among EU suppliers of new buses, exporting approximately $44 million worth in the first half of 2025—a year-on-year increase exceeding 58%—capturing a 2.3% market share. Turkey led the segment with $1.21 billion in exports, followed by China with over $440 million.

The report underscores Morocco’s growing strategic importance in the European automotive ecosystem. “Morocco has established itself as a key player in the EU market, alongside long-standing manufacturing powers,” ACEA stated. This reflects the country’s ability to combine rising domestic production with expanded export capacity, even as global competition intensifies.

Industry analysts note that Morocco’s ascent is linked to sustained government support, strategic investment in manufacturing infrastructure, and its geographic proximity to Europe, which allows for efficient supply chains. The development of specialized production clusters and export-focused facilities has enabled Morocco to compete effectively with established automotive exporters from Asia and other regions.

Overall, Morocco’s performance highlights the evolving dynamics of the global automotive market. While Europe faces pressure from international competition and regional production declines, Morocco’s targeted investment and export-oriented growth strategy have allowed it to capture a larger share of the EU market, particularly in niche segments like buses. The country’s progress also demonstrates that emerging automotive hubs can leverage both strategic location and industrial policy to gain prominence on the international stage.

With continued investment and expansion of its automotive sector, Morocco is positioned to maintain, and potentially increase, its influence in Europe’s vehicle supply chain, reinforcing its role as a crucial link between North Africa and the European market.