Type to search

Chinese Firms See Morocco as Path to US EV Credits – AP

Many Chinese battery-makers have invested in the African nation recently as JVs with local firms in countries with trade deals with the US may get tax credits

Gotion High-tech logo
Gotion High-tech is a China-based company principally engaged in the manufacture of lithium-ion power batteries and electric transmission and transformation businesses. Photo: Yicai


Chinese companies have announced plans for new factories in Morocco to make EV parts that may qualify for $7,500 credits for carbuyers in the US, according to a report by Associated Press, which said at least eight Chinese battery makers had announced investments in the North African nation since the Biden Administration passed its Inflation Reduction Act to counter climate change.

Rules in the US law have led to increased Chinese investment in joint ventures with local firms in countries that have free-trade agreements with the US, such as South Korea and Morocco, to get past those limitations, the report said, noting that the Chinese-German battery-maker Gotion High-Tech signed a deal with Morocco in 2023 to invest $6.4 billion construct Africa’s first EV battery factory.

Morocco has more than 250 companies that make cars or car parts such as seats, engines and wheels and it exports $14 billion worth of these items annually, it said, but experts believe it could take a long time to eliminate Chinese firms from the EV supply chain.

Read the full report: AP.



Indonesia’s First EV Battery Plant Launched by Hyundai, LGES

Germany Opposes EU Tariffs on China EVs, as Trade Heat Rises

CATL, Gotion Under Scrutiny in US Over ‘Use of Forced Labour’

China’s Gotion Gets US Nod on $2 Billion Lithium Battery Plant

BMW Imported 8,000 Cars Into US With Banned Chinese Parts

US Senate Passes Xinjiang Import Ban Over ‘Forced Labour’

US Checking EV Battery Imports Over China Forced Labour Fears


Jim Pollard

Jim Pollard is an Australian journalist based in Thailand since 1999. He worked for News Ltd papers in Sydney, Perth, London and Melbourne before travelling through SE Asia in the late 90s. He was a senior editor at The Nation for 17+ years.


AF China Bond