Exclusive
Morocco and China the future at hand
By Toumert AI | chinawatch.cn | Updated: 2019-04-02 15:32

2019 is an important milestone in the Sino-Moroccan relations.

Sixty years ago, Morocco became one of the first African nations to recognize the People’s Republic of China. And since then both nations have had steady cooperation covering fields ranging from infrastructure, financing and health to medical and education missions.

While overall, both countries have succeeded in maintaining a win-win cooperation established within the diplomatic norms of respect of each other’s sovereignty and territorial integrity, today policymakers understand the need to move this relationship to new heights that meet the 21st century’s economic and social challenges.

Geopolitically the Kingdom of Morocco offers both political stability and geographic importance as a gateway to Europe, sub-Saharan Africa, North Africa and the Arab World. And this geopolitical strength is translated by having free trade agreements with the United States, Egypt, Jordan, Tunisia, Turkey, and the United Arab Emirates and has advanced status with the European Union.

Now that Morocco has signed into the Belt and Road Initiative, it is going to change the dynamics of investment in trade as Chinese traders can now invest in Morocco in production units and develop new market access with preferential rates.

However, Morocco’s engagement with China seeks more than trade platform access, as the kingdom’s ambition is in developing key emerging sectors matching China polices of industrial restructuring and innovation.

In aviation, Morocco is already becoming an aerospace sub-contracting hub with units from Bombardier, EADS Boeing, Safran, Lisi Aerospace, Le Piston, Daher, Souriau, Ratier Figeac, Eaton, Alcoa and Aerolia operating in Casablanca.

And though China now imports all its aviation cabling from Morocco, as China is developing its own airplane manufacturing capabilities, it will be natural for major Chinese aerospace manufacturers to establish maintenance centers in Morocco taking advantage of its aerospace hubs and skilled workers.

Another industry that is shaping up strongly is the automobile sector, as Morocco plans to make 1 million vehicles by 2020, against 650,000 currently, with an estimated turnover of 10 billion euros, and the objective to create 160,000 jobs.

If China helps Morocco with its strong production capacity and know-how, it can easily help Morocco become a competitor to French automakers locally and at the African level.

Beside these two sectors, China can also easily integrate with the new alternative energy policy that Morocco has established.

Morocco has decided to switch to renewable energy to secure not only its needs of production , but also to support the Paris Agreement for a better, clean environment.

The Noor 1 project, reflects the kingdom’s ambitions for alternative energy. With an investment of $3.9 billion, Noor 1, which started operations in 2017, is the largest solar farm in Africa.

Given this background, a delegation from Chinese companies such as the Export-Import Bank of China; Power China Group; the China Gezhouba Group; Huawei and the Shanghai Electric Group, visited the Ministry of Mining and Energy in 2017 and expressed their wish to invest in Morocco and establish partnerships with public and private players.

Finally, we have an important sector in Morocco that has seen an extraordinary development in recent years, the tourism industry.

Since the visa waiver in 2016, Chinese outbound tourism to the kingdom has surged 300 percent year on year, from a mere 10,000 in 2015 to 120,000 by 2017.

Sure, the numbers are small compared with other destinations, but from a percentage point of view, both nations have some good indicators to work on them.

If both operators, public and private, manage to devise a strategy that involve not only promoting the destination, but also investing in hotel capacity, flight connections, and package design, the two nations can turn the success already at hand into an integrated policy on investment and local economy development.

The four sectors offer policymakers in both nations, a focus to emphasize and create a new drive where a partnership can take place, a new model of a win-win relationship that can shape the future of both nations.

Toumert AI is secretary general of China-Morocco Friendship Association Peace Foundation.

The author contributed this article to China Watch exclusively. The views expressed do not necessarily reflect those of China Watch.

All rights reserved. Copying or sharing of any content for other than personal use is prohibited without prior written permission.

2019 is an important milestone in the Sino-Moroccan relations.

Sixty years ago, Morocco became one of the first African nations to recognize the People’s Republic of China. And since then both nations have had steady cooperation covering fields ranging from infrastructure, financing and health to medical and education missions.

While overall, both countries have succeeded in maintaining a win-win cooperation established within the diplomatic norms of respect of each other’s sovereignty and territorial integrity, today policymakers understand the need to move this relationship to new heights that meet the 21st century’s economic and social challenges.

Geopolitically the Kingdom of Morocco offers both political stability and geographic importance as a gateway to Europe, sub-Saharan Africa, North Africa and the Arab World. And this geopolitical strength is translated by having free trade agreements with the United States, Egypt, Jordan, Tunisia, Turkey, and the United Arab Emirates and has advanced status with the European Union.

Now that Morocco has signed into the Belt and Road Initiative, it is going to change the dynamics of investment in trade as Chinese traders can now invest in Morocco in production units and develop new market access with preferential rates.

However, Morocco’s engagement with China seeks more than trade platform access, as the kingdom’s ambition is in developing key emerging sectors matching China polices of industrial restructuring and innovation.

In aviation, Morocco is already becoming an aerospace sub-contracting hub with units from Bombardier, EADS Boeing, Safran, Lisi Aerospace, Le Piston, Daher, Souriau, Ratier Figeac, Eaton, Alcoa and Aerolia operating in Casablanca.

And though China now imports all its aviation cabling from Morocco, as China is developing its own airplane manufacturing capabilities, it will be natural for major Chinese aerospace manufacturers to establish maintenance centers in Morocco taking advantage of its aerospace hubs and skilled workers.

Another industry that is shaping up strongly is the automobile sector, as Morocco plans to make 1 million vehicles by 2020, against 650,000 currently, with an estimated turnover of 10 billion euros, and the objective to create 160,000 jobs.

If China helps Morocco with its strong production capacity and know-how, it can easily help Morocco become a competitor to French automakers locally and at the African level.

Beside these two sectors, China can also easily integrate with the new alternative energy policy that Morocco has established.

Morocco has decided to switch to renewable energy to secure not only its needs of production , but also to support the Paris Agreement for a better, clean environment.

The Noor 1 project, reflects the kingdom’s ambitions for alternative energy. With an investment of $3.9 billion, Noor 1, which started operations in 2017, is the largest solar farm in Africa.

Given this background, a delegation from Chinese companies such as the Export-Import Bank of China; Power China Group; the China Gezhouba Group; Huawei and the Shanghai Electric Group, visited the Ministry of Mining and Energy in 2017 and expressed their wish to invest in Morocco and establish partnerships with public and private players.

Finally, we have an important sector in Morocco that has seen an extraordinary development in recent years, the tourism industry.

Since the visa waiver in 2016, Chinese outbound tourism to the kingdom has surged 300 percent year on year, from a mere 10,000 in 2015 to 120,000 by 2017.

Sure, the numbers are small compared with other destinations, but from a percentage point of view, both nations have some good indicators to work on them.

If both operators, public and private, manage to devise a strategy that involve not only promoting the destination, but also investing in hotel capacity, flight connections, and package design, the two nations can turn the success already at hand into an integrated policy on investment and local economy development.

The four sectors offer policymakers in both nations, a focus to emphasize and create a new drive where a partnership can take place, a new model of a win-win relationship that can shape the future of both nations.

Toumert AI is secretary general of China-Morocco Friendship Association Peace Foundation.

The author contributed this article to China Watch exclusively. The views expressed do not necessarily reflect those of China Watch.

All rights reserved. Copying or sharing of any content for other than personal use is prohibited without prior written permission.