The African Development Bank has approved a €100 million loan to Gotion Power Morocco to develop an integrated lithium iron phosphate battery gigafactory in the Rabat-Salé-Kénitra Free Trade Zone, marking the first facility of its kind in Africa and the Middle East and North Africa region.
The project, led by Chinese battery manufacturer Gotion High-Tech Co. Ltd, will produce 10 gigawatt-hours of battery cells and packs for electric vehicles in its first phase, with plans to expand capacity to 100 GWh. The bank also plans to mobilise up to an additional €141 million from financial partners, acting as mandated lead arranger under the New African Financial Architecture for Development (NAFAD).
The investment strengthens Morocco’s ambition to become a leading hub for electric mobility and green technology value chains. It also represents a significant step in the continent’s efforts to capture a share of the rapidly growing global battery market, which is dominated by Asian manufacturers.
“Battery storage is the missing link in Africa’s clean energy transition,” said Kevin Kariuki, the bank’s vice-president for power, energy, climate and green growth. “A facility of this scale, powered primarily by renewable energy, strengthens the foundations for the large-scale integration of solar and wind power, which our grids increasingly depend on”.
Morocco has been aggressively courting investment in electric vehicle supply chains, leveraging its proximity to European markets, stable political environment, and existing automotive manufacturing base. The country already hosts assembly plants for Renault and Stellantis and has attracted significant investment from battery materials producers.
The gigafactory will encompass the entire value chain from cathode material production to cell and battery pack assembly for electric vehicles. The project is expected to create more than 600 direct jobs in its first phase and achieve a local industrial integration rate of 70 per cent.
“This gigafactory will be a major catalyst for strengthening Morocco’s industrial competitiveness and for accelerating its emergence as Africa’s manufacturing hub for sustainable mobility industries,” said Achraf Tarsim, the bank’s country manager for Morocco. “It will help foster an African industrial ecosystem for batteries and electric vehicles while promoting the local beneficiation of critical minerals essential to the energy transition”.
The €100 million loan is part of a broader financing package that includes the bank’s role as mandated lead arranger under NAFAD, a framework endorsed under the Abidjan Consensus in April 2026 that aims to strengthen co-ordination across Africa’s financial ecosystem and mobilise domestic capital.
Gotion High-Tech, headquartered in Hefei, China, is listed on the Shenzhen Stock Exchange and ranks among the world’s top-tier battery manufacturers. The company specialises in lithium-ion battery technologies and energy storage solutions, with research, manufacturing and business operations spanning multiple continents.
The project aligns with the African Development Bank Group’s strategic vision of promoting resilient infrastructure, accelerating industrialisation, adding value to Africa’s natural resources and strengthening regional integration.
By advancing electric mobility and energy storage solutions, the project is expected to accelerate Africa’s transition to a low-carbon economy and facilitate greater deployment of renewable energy. The bank has been expanding its support for battery storage across the continent, including a recent $66 million investment in Egypt’s Dandara solar project with integrated battery storage.
The Gotion facility will be located in the Atlantic Free Zone, an industrial park that has attracted significant foreign investment in recent years. Construction is expected to begin shortly, according to local reports.
