On Nov. 9, 2013, FAW Africa Investment Company of FAW China has signed a cooperation memorandum with Algeria Arcofina Group that both sides will invest in a joint-venture vehicle construction plant in Algeria.
According to the memo, the plant will construct 10,000 vehicles in the first year after its establishment and ultimately will reach 30,000 vehicles per year. The newly founded company will build nationwide sales offices and plans to export vehicles to other countries of Africa and Europe.
Algeria is the second largest vehicles importer in Africa. Imported vehicles reached 568,000 in 2012, and the import quota amounted up to 7 billion. However, only French company Renault has previously signed a cooperation agreement with Algeria in the construction of vehicles, with an expected production of 25,000 in 2014.