Morocco: Guizhou Tyre to Invest $298.7 Million in Tire Plant at Tangier Tech
Supply Chain — Morocco
Chinese tire manufacturer Guizhou Tyre plans to invest $298.7 million in a semi-steel radial tire manufacturing plant at Tangier Tech. The project is designed to produce 6 million tires per year and expand the company’s industrial capacity for international markets.
A 6-million-tire annual production project
Guizhou Tyre approved the project at a board meeting on 5 January 2026, before publishing the official announcement on 6 January. The plant will be located in Tangier Tech, Morocco, and operated by a planned subsidiary provisionally named Advance Tyre (Morocco) Co., Ltd.
Total investment is estimated at $298.7215 million. This includes $293.0217 million for construction, $4.526 million in construction-period interest and $1.1738 million in initial working capital.
The project is currently in the preparation phase. Construction is expected to take approximately two years.
Morocco’s supply chain: a new industrial capacity to integrate into existing flows
The plant is expected to produce 6 million semi-steel radial tires annually. From a supply chain perspective, the project will create additional requirements for the movement of raw materials, warehousing of finished products and distribution to domestic and international markets.
Its location in Tangier Tech places the facility close to Morocco’s logistics infrastructure in the north of the country. The actual organisation of these flows will depend on suppliers, destination markets and the transport solutions selected by the company.
Guizhou Tyre estimates average annual sales revenue of $182.5153 million and average annual total profit of $40.8659 million under normal operating conditions. The company estimates a total investment return rate of 13.37%.
Why it matters
* Industrial capacity: The plant is designed to add up to 6 million tires per year to Guizhou Tyre’s production capacity.
* Logistics flows: The facility will generate additional demand for inbound transport, storage, handling and distribution services around Tangier.
* Investment: Nearly $300 million will be allocated to developing the manufacturing facility and its associated operations.
A project connected to African and international markets
Tangier is strategically positioned within supply chains linking Morocco with Europe and African markets. Its proximity to port and transport infrastructure could facilitate the export of locally manufactured tires.
For logistics operators, the main issue will be integrating this new production capacity into existing supply chains, from raw-material procurement and inland transport to warehousing and distribution of finished tires.
The project remains subject to the required investment registrations and approvals in China and Morocco. Guizhou Tyre also identifies changes in taxation, labour costs, market demand, prices and exchange rates among the factors that could affect implementation and expected returns.
With a planned investment of $298.7 million, Guizhou Tyre is preparing a new manufacturing capacity in Tangier. For the Morocco supply chain, the key challenge will be connecting the planned 6-million-tire annual production to transport infrastructure, warehousing capacity and African and international markets.
