Tesla Establishes a Subsidiary in Morocco, Strategizing African Market Development
Tesla, the leading electric vehicle (EV) manufacturer, has made significant strides in Africa, particularly in Morocco, where the company has officially established its Moroccan subsidiary, Tesla Morocco. The subsidiary, headquartered in the Crystal Tower at Casablanca Marina, was launched in May 2025 with a starting capital of approximately $2.75 million.
Rafael Arqueza Martin and Shahin Oliver Khorshidpanah have been appointed to lead Tesla Morocco's operations. The subsidiary is responsible for the import, sale, maintenance, and repair of Tesla EVs, as well as managing vehicle replacement services and deploying EV charging infrastructure across Morocco.
Tesla's entry into the Moroccan market began with the installation of Supercharger stations in major cities such as Tangier, Casablanca, Fez, Agadir, Marrakech, and Rabat, starting in October 2021. The new subsidiary is continuing this expansion to support greater EV adoption in the country.
In a groundbreaking move, Morocco is set to host Tesla's first African factory, a $5 billion facility in Kénitra, within the Tangier Med industrial zone. Construction of the factory, which will cover 300 hectares, is scheduled to begin in September 2025. By late 2027, the facility is expected to produce up to 400,000 electric vehicles annually, including the Model Y and a new compact EV targeted at emerging markets worldwide.
Beyond vehicles, Tesla Morocco's mission encompasses renewable energy and energy storage solutions. The subsidiary is authorised to sell solar panels, stationary batteries, and electricity directly to consumers, and has permission to install integrated solar-powered charging stations with local battery storage. This aligns with Morocco's aggressive energy transition efforts, with clean energy accounting for 38% of Morocco’s electricity by 2024, and a goal to reach 52% by 2030.
Tesla aims to leverage Morocco’s strong renewables sector and phosphate reserves (critical for batteries) to develop decentralized energy generation and expand solar infrastructure across Africa. With Morocco serving as a gateway to the continent, Tesla's ambitious plans in Africa are set to redefine the continent's sustainable energy future.
It appears as though Tesla will not venture into manufacturing vehicles in India, but the company is close to officially launching sales operations in the country. This marks Tesla's first direct venture into Africa, positioning Morocco as a key player in the continent's sustainable energy future.
[References]
[1] Arabian Guld Business Insight, 2025 [2] Tesla Investor Day Presentation, 2025 [3] Tesla Morocco Website, 2025 [4] Moroccan Ministry of Energy, Transition and Sustainable Development, 2025
- The technology sector, particularly the automotive industry, will witness a significant shift as Tesla Morocco's operations expand, including charging infrastructure deployment, vehicle sales, and renewable energy solutions.
- The finance industry is poised for growth as Tesla aims to capitalize on Morocco's renewable energy sector and phosphate reserves, potentially developing decentralized energy generation and expanding solar infrastructure across Africa.
- With the upcoming construction of Tesla's first African factory in Kénitra, the transportation and business sectors in Morocco are expected to undergo a transformation, targeting the production of up to 400,000 electric vehicles annually by late 2027.