Younes Rabeh 
The African Development Bank (AfDB) has approved a €100 million financing package for Gotion Power Morocco, marking one of the most significant investments in Africa’s electric vehicle (EV) battery manufacturing industry. The project will establish Africa’s first integrated Lithium Iron Phosphate (LFP) battery gigafactory, reinforcing Morocco’s position as a strategic hub for electric mobility, battery production, renewable energy, and green industrial development.
Located in the Rabat-Salé-Kénitra Free Trade Zone, the new facility will manufacture lithium iron phosphate (LFP) battery cells and battery packs for electric vehicles while supporting the development of a complete regional battery supply chain.
Morocco Strengthens Its Position as Africa’s EV Manufacturing Hub
The project is being developed by Gotion High-Tech Co., Ltd., one of the world’s leading manufacturers of electric vehicle batteries and energy storage systems, headquartered in Hefei, China.
The first phase of the investment will deliver an annual production capacity of 10 GWh of LFP battery cells and battery packs, with an ambitious long-term expansion plan reaching 100 GWh, making it one of the largest battery production projects on the African continent.
Once operational, the facility will become the first integrated battery gigafactory in both Africa and the Middle East & North Africa (MENA) region, covering the complete manufacturing process from cathode materials to finished battery cells and battery packs.
African Development Bank to Mobilize Additional Financing
Beyond the initial €100 million commitment, the African Development Bank Group intends to mobilize up to €141 million from international financial partners under the New African Financial Architecture for Development (NAFAD) initiative.
This financing demonstrates increasing international confidence in Morocco’s industrial ecosystem and in Africa’s growing role within the global electric vehicle battery value chain.
A Major Step for Africa’s Electric Vehicle Industry
The development of a local lithium battery manufacturing ecosystem represents a turning point for the African automotive industry.
As demand for electric vehicles in Africa continues to grow, local battery production will help:
- 🔋 Reduce dependence on imported battery packs.
- 🚗 Support EV assembly plants across Africa.
- 🌍 Strengthen regional automotive supply chains.
- ⚡ Accelerate electric mobility adoption.
- 🌱 Lower logistics costs and carbon emissions.
- 📈 Improve Africa’s competitiveness within the global EV industry.
Battery manufacturing remains one of the highest-value segments of the electric mobility supply chain, making this investment strategically important for the continent’s industrial future.
Economic Impact for Morocco
The project is expected to generate substantial economic benefits for Morocco.
📊 Key Figures
👷 More than 600 direct jobs during Phase 1.
🏭 70% local industrial integration.
🎓 Development of advanced manufacturing skills.
📦 Growth of local suppliers and industrial ecosystems.
💼 New investment opportunities across Morocco’s automotive sector.
The gigafactory is expected to attract additional investments in battery materials, EV components, recycling technologies, logistics, and advanced manufacturing.
Supporting Africa’s Clean Energy Transition
Beyond electric vehicles, Lithium Iron Phosphate (LFP) batteries are becoming essential for renewable energy storage.
Large-scale battery production supports the deployment of:
- ☀️ Solar power plants
- 💨 Wind energy projects
- ⚡ Grid-scale battery storage
- 🏭 Industrial energy storage
- 🔌 Smart electrical grids
By increasing battery production capacity within Africa, Morocco will also contribute to strengthening energy security while accelerating the continent’s transition toward low-carbon energy systems.
Why Lithium Iron Phosphate (LFP) Batteries?
Lithium Iron Phosphate (LFP) technology has become one of the fastest-growing battery chemistries worldwide.
Compared with conventional lithium-ion batteries, LFP batteries offer several advantages:
✅ Longer lifespan
✅ Higher thermal stability
✅ Improved safety
✅ Lower maintenance requirements
✅ Competitive production costs
These characteristics make LFP batteries particularly suitable for electric vehicles, commercial fleets, buses, energy storage systems, and utility-scale renewable energy projects.
Morocco Continues to Attract Global EV Investment
Over the past few years, Morocco has established itself as one of Africa’s leading automotive manufacturing hubs thanks to:
- Strategic geographic location between Europe and Africa.
- Competitive industrial infrastructure.
- Strong renewable energy capacity.
- Free trade agreements.
- Skilled industrial workforce.
- Government support for clean technologies.
The Gotion Power Morocco gigafactory further strengthens Morocco’s ambition to become a global center for EV battery production, electric vehicle manufacturing, and green industrial investment.
EV24 Africa Insight
At EV24 Africa, we believe this investment represents far more than the construction of a battery factory.
It marks the emergence of a new industrial chapter for Africa.
Local battery manufacturing will strengthen regional supply chains, reduce import dependency, create highly skilled jobs, and support the rapid growth of electric mobility across the continent.
As Africa’s demand for electric vehicles, battery storage solutions, and renewable energy technologies continues to accelerate, projects like the Gotion Power Morocco Gigafactory will play a central role in shaping the future of sustainable transportation and clean energy across Africa.
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📚 Source
African Development Bank (AfDB)
African Development Bank Approves €100 Million to Gotion Power Morocco to Develop Africa’s First Lithium Ion Phosphate Battery Gigafactory
https://www.afdb.org/en/news-and-events/african-development-bank-approves-eu100-million-gotion-power-morocco-develop-africas-first-lithium-ion-phosphate-battery-gigafactory-95727
Published on 24 July 2026 by the African Development Bank.
