Tebboune Vows Algerian Car Within 27 Months

Algeria will have an Algerian car by the end of 2028, President Abdelmadjid Tebboune said in Algiers on Wednesday 14 October. He tied the goal to plans with German and Italian partners, the state news agency APS reported.

For foreign carmakers and investors, including American ones, the pledge signals that Algeria will keep favouring local production over imports. General Motors held talks with Algeria’s industry minister the day before the speech.

“If things go as we planned with the Germans and the Italians, we will have an Algerian car by the end of 2028,” Tebboune said, according to APS. He said it would have an Algerian gearbox and Algerian tyres, “and not just tyre inflation”.

“It is a bet we will win,” he added, without naming the companies involved. The Algiers daily Horizons reported that he also announced local production of car bodies before the end of this year.

Horizons quoted him as saying the engine would also be fully Algerian, a detail missing from the APS account. Tebboune gave no price, production target or plant location.

The speech came at the third national meeting between the state and business leaders, held at the Abdelatif Rahal International Conference Centre. It was organised by the Algerian Economic Renewal Council (CREA), an employers’ organisation led by Kamel Moula.

Horizons reported that the prime minister, cabinet members, the heads of both chambers of parliament and the army chief of staff attended. Tebboune has been Algeria’s president since December 2019 and won a second term in September 2024.

Algeria’s current car drive dates from 2023, when Stellantis opened a Fiat plant in Oran, the news site TSA reported. The plant builds the Doblo van and began assembling the Fiat Grande Panda from imported kits in September 2025.

According to TSA, the industry aims for an integration rate of 30%, the share of each vehicle sourced inside Algeria. The site added that Hyundai and Chery have announced car projects in the country, and that Opel has floated a car and engine plant.

Factories for plastic parts, brake pads and car bodies have also opened, TSA reported. Horizons said local production of cold-rolled steel should raise the share of Algerian content further.

On Tuesday 13 October, Industry Minister Farid Kourtel received a General Motors delegation in Algiers, his ministry said in a statement carried by Algérie Eco. The group was led by Rohan Fernandes, who heads GM’s business in Egypt and Africa.

The two sides discussed local integration, industrial subcontracting and a possible partnership, the statement said. No agreement was announced.

Tebboune used the same speech to say Algeria is moving “from an administered economy to a free economy”. He promised the shift would be smooth and that the state would keep its social role.

He called Algeria the third-largest economy in Africa and said 2027 would be a turning point. He also urged traders to “banish greed” after recent swings in fruit and vegetable prices.

According to APS, he cited 13,000 real investment projects since the investment law was revised. A national one-stop investment office will start work on 1 January 2027, when the 2027 finance law takes effect.

Tebboune said Algeria now produces 84% of the medicines it needs and has stopped importing petrol and kerosene. He said diesel imports will end once a new refinery at Hassi Messaoud comes on line.

Horizons quoted him putting current growth at 3.8%, with more than 4% expected by the end of the year. He also reminded the employers of their pledge to reach US$30 billion in exports by 2030.

He ended by asking the finance minister to contact the World Bank and the International Monetary Fund to re-examine economic data. APS did not say which figures he wants reviewed.

Earlier coverage is in Algeria Tells Foreign Carmakers to Buy Local Plastic Parts From 2027 and Algeria to Export 250 EV Chargers to Italy . For background, see Algeria Explained 2026, Politics, Gas and Economy , Who Is Algeria’s President Abdelmadjid Tebboune? and Algeria’s 2026 Economy Relies on Gas for Over 90% of Exports .

For American carmakers, Algeria is a protected market that rewards local production over imports. The General Motors visit shows that at least one US group is studying that route.

Stellantis, the parent of Jeep, Chrysler and Ram, already has a foothold through its Oran plant. Holders of its New York-listed shares will want to know whether it is among the partners Tebboune had in mind.

The plan also matters for energy markets, since Algeria wants to rely less on oil and gas income. The risk is execution, because no partner, budget or factory site has yet been made public.

Tebboune did not name the German and Italian partners, and no contract has been published. It is not clear whether the car would carry a new Algerian brand or a foreign one.

Reports of the speech differ on some details. APS quoted 13,000 investment projects and did not mention the engine, while Horizons reported 18,000 projects and a fully Algerian engine.

No price, production volume or investment figure has been given for the project. The outcome of the General Motors talks with the industry ministry is also unknown.

President Tebboune said Algeria should have its own car by the end of 2028 if plans with German and Italian partners hold. He called the goal “a bet we will win”.

Tebboune did not name the companies and referred only to Germans and Italians. Stellantis already builds Fiat models in Oran, and General Motors held talks with the industry minister on 13 October.

Tebboune said the car would have an Algerian gearbox and Algerian tyres. Horizons also reported that local production of car bodies will start before the end of 2026.

It does, because Algeria favours carmakers that build locally rather than import. The General Motors visit and the Stellantis plant in Oran put US-linked groups close to the project.

He said a national one-stop investment office will open on 1 January 2027. He also said Algeria now makes 84% of the medicines it needs.

Sources: APS, L’économie nationale avance résolument vers des perspectives très prometteuses, 14 October 2026 ; APS, Rencontre nationale avec les opérateurs économiques, 14 October 2026 ; Horizons, Automobile et guichet unique, 14 October 2026 ; Horizons, Tebboune sur l’économie algérienne, 14 October 2026 ; Algérie Eco, Kourtel reçoit une délégation de General Motors, 14 October 2026 ; Algérie Eco, Tebboune évoque une phase de transformation globale, 15 October 2026 ; TSA, Tebboune annonce la fabrication d’une voiture algérienne en 2028, 14 October 2026 .

Editorial responsibility: Matthias Camenzind , Editor-in-Chief · Editorial standards · Report an error

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