Algerian army to overhaul car industry in Algeria
A presidential decree issued on October 12 has officially announced the creation of an industrial group for the promotion of mechanic industries under the tutelage of the defence ministry with the aim to provide the national army with vehicles and engines.
- The group is entrusted with managing all the subsidiaries as part of joint ventures with other partners in addition to the supervision of the activities pertaining to cars industry thanks to an overall budget estimated at $ 10 billion according to the 2012 finance law.
- A source close to the file has revealed to Echouoruk that preparations for the launch of the production of industrial vehicles ( trucks and buses) are well underway and reached an advanced step.
- The Algerian defence ministry has sealed a deal in 2009 with German and Emirates partners to produce Mercedes brand trucks and buses in three industrial complexes erected in Algiers, Constantine and Tiaret.
- The same source has indicated that the project comprises extension works to the existing industrial base located in Algiers as well as the replacement of the equipment that deteriorated over the last two decades on account of the recession registered in the activities die to the accumulating debts.
- The complex is due to produce some 8500 units per year at the beginning to reach 16500 by 2018; this number is due to cover the domestic demand of trucks and buses.
- The general manager of the national company of industrial vehicles Mokhtar Chehboub has indicated that capacity of the produced trucks varies between 3.8 and 6.6 tons and are destined for the national market whose demand is estimated at some 30 thousand units a year.