Hasnaoui Grouphas inked an agreement with Nissan Motor Co to create a $160 million car assembly plant in Algeria.
A partnership agreement between Algerian private group Hasnaoui and Japanese car manufacturer Nissan Motor signed, on Wednesday in Algiers, an agreement for the installation of car production plant in Algeria. The investment is worth $160 million.
Located in the western city of Oran, the plant is set to commence operations by the first half of 2020, Nissan revealed, noting that the plant was forecast to produce 63,500 vehicles annually and create 1,800 jobs.
“Algeria is a big country for us. Thanks to the government’s support, we managed to conclude this deal. Our top priority is to meet local demand but we will think about exporting our product later,” Nissan’s senior vice president and chairman of operations in Africa, Peyman Kargar, commented.
Hasnaoui Group will hold a majority stake in the project.
The Japanese automaker, Nissan Motor, posted a 12.6% year-on-year jump in its profits during the fiscal year ended March 2018, after the one-time US tax overhaul, compensating for the sales decline in North America.