The Fiat plant in Tafraoui (Algeria) has begun assembling CKD (Completely Knocked Down) cars
- The Fiat assembly plant in Tafraoui, Algeria (near Oran), was inaugurated in December 2023 and began assembling Fiat models from CKD (Completely Knocked Down) kits in January 2024. These CKD kits include the Fiat 500 Hybrid, Fiat Doblo, and Fiat Scudo, produced using parts sourced from Europe, and are intended solely for the Algerian market. Other models are planned, notably the Fiat Grande Panda (also from CKD kits). This plant reportedly produced 18,000 vehicles in 2024, while Stellantis aimed for 24,000 units. Stellantis then aimed for 60,000 in 2025 and 90,000 in 2026. However, according to our sources, Fiat only sold 20,000 cars in 2025. Therefore, it is not certain that the carmaker’s targets were met by 2025.
- It is worth recalling that the Algerian market has declined significantly since 2012. It represented 437,000 units in 2012 and 400,000 in 2013, mainly imported, before falling to 342,000 in 2014, 265,000 in 2015 and 97,000 in 2016. The suspension of new car imports into Algeria between 2017 and 2022 caused the market to plummet even further, but imports have modestly resumed since 2022. The Algerian government encourages local assembly of foreign models using CKD kits, but today most of the models sold in Algeria are imported.
- Renault attempted to establish a presence near Oran as early as 2014, with a production capacity of 75,000 units per year . However, with relations between Algeria and France weakening after 2017, the French carmaker's production in Algeria plummeted, falling from 70,597 in 2018 to 60,012 in 2019 and 754 in 2020. The Stellantis group, to which Fiat belongs, being less related to France, may have a better chance of sustaining its operations in Algeria. Opel (another Stellantis subsidiary), which holds the fifth position in the Algerian market, has announced its intention to assemble its Frontera from CKD kits in Algeria starting in 2026.