Two Chinese companies have been tapped by Morocco to join a group of international investors in building green hydrogen projects worth 319 billion Moroccan dirhams (about $32.7 billion), signaling another milestone in green cooperation between the two countries.
The Moroccan government last week approved six projects that it said are to be developed in three southern provinces, with each project allocated up to 30,000 hectares.
The projects, aiming to produce ammonia, steel and industrial fuel, are part of Morocco’s broader push for green energy transition. Last year, it launched the “Morocco Offer,” an initiative designed to position it as a global leader in green hydrogen and attract both national and international investors to develop large-scale green energy projects in the country.
Among the five consortiums Morocco picked for the new projects, UEG and China Three Gorges – the Chinese consortium – will focus on producing ammonia. The other companies are from Spain, Saudi Arabia, the U.S., Germany and Morocco.
The projects build on a series of high-profile collaborations between China and Morocco. Earlier this year, the two countries launched a joint green energy laboratory to accelerate research and innovation in the renewable sector, while Guoxuan High-tech revealed plans to construct Africa’s first electric vehicle battery mega factory in the North African country.
Morocco’s role as a crucial bridge in the Middle East and North Africa market enables Chinese companies to connect with both European and African markets, according to Arab-China Institute for Economics and Policy.
This approach, characterized by low-cost production paired with high value-added exports, aligns seamlessly with the Belt and Road Initiative and represents a win-win strategy for both sides, the organization said in an article published on its website.
As these projects unfold, they are expected to drive sustainable development in Morocco and further solidify the international standing of Chinese renewable energy technology, it said.