North Africa is increasingly central in the plans of the car group led by Antonio Filosa on this side of the Atlantic (beyond it, namely in the USA, it will allocate as much as 13 billion dollars). If the latest rumors about possible Moroccan production of upcoming Fiat models, the futuristic and currently unofficial Grizzly and Koala, already seemed to confirm this strategic line of Stellantis, now there are corporate confirmations at least regarding the plant in Algeria.
STELLANTIS’ PLANS IN ALGERIA
According to what was communicated by the news agencies, the Group’s goal for the Tafraoui plant, near Oran – owned by the Italian brand Fiat – is to increase the annual production capacity from 90,000 to 135,000 vehicles by 2028.
The news coming from North Africa clashes once again with the numbers that the Italian Stellantis brands collected during 2025: in 12 months at the Fiat, Maserati, Lancia and Alfa Romeo plants along the peninsula, a total of 379,706 units of passenger cars and commercial vehicles were produced, with a 20% decrease compared to the previous year, so far considered the worst in the history of Italian automotive.
THE EXPECTED FIAT MODELS
Stellantis’ interest in Algeria has been evident for some time. According to what was previously announced, Fiat intends to market in Algeria the Fiat 500 Hybrid, Fiat 500X, Fiat Tipo, Fiat Doblò, Fiat Scudo and Fiat Ducato: the cornerstone of the project is the Oran – Tafraoui hub, which won the production of four of the six models, starting with the 500 Hybrid and the Doblò. All this through an initial investment of 200 million euros.
Last September Stellantis Algeria presented the Grande Panda, which holds the record of being the first locally produced vehicle in Ckd format (complete knock-down kit of completely disassembled spare parts assembled on site) always at the Tafraoui plant. On that occasion, Agi detailed: “Agreements have already been signed with local suppliers for component production, with the goal of gradually increasing the share of local content. Currently, plastic components for interiors and seats are produced in Algeria, while projects for battery and tire production are underway. The declared goal is to reach a 30% integration rate by the end of 2026.”
IS THE JUNIOR MOVING FROM POLAND TO ALGERIA?
According to rumors, Stellantis in Oran would also like to produce another Italian brand; there has been talk for some time of an Alfa Romeo model. And since no new Biscione models are planned, many observers believe it could be the Alfa Romeo Junior (formerly Alfa Romeo Milano: the name changed after the Made in Italy ministry intervened invoking the application of the Italian sounding law since the car was produced in Poland) which would therefore move from Tychy to Algeria.
CASSINO RISKS CLOSURE IN THE MEANTIME
All this while at least the Italian media in the sector recall that the Stellantis plant in Cassino, home in the recent past to many Alfa Romeo models (Giulia, Giulietta, Stelvio…), has so far in 2026 operated only 17 working days between January and March, with an average of less than six days per month. A situation that seriously jeopardizes the future of about 2,000 workers on those lines that in the past produced cars like Ritmo, Croma, Tipo and Punto.
“Since the beginning of the year – details also the Post – the factory has reopened only for a few days each month, on a single shift employing 600 workers each time. Most employees have not worked, with a solidarity contract that provides for a reduction in hours and salary, which is partially supplemented by INPS.”
FROM 17,000 VEHICLES A YEAR TO 53,000 IN TWO YEARS
Returning instead to the news coming directly from Stellantis, the company explained that the current phase involves the expansion of the Algerian welding and car assembly lines, as well as the construction of a new paint shop, all to support production growth and meet local market demand.
The project, Stellantis further explains, is part of the group’s industrial strategy in Algeria, confirming the intention to make the country a regional hub for automotive production. Since its launch in December 2023, Algerian production has increased from 17,000 vehicles in 2024 to 53,000 in 2025. The already mentioned roadmap aims to reach first 90,000 and finally 135,000. This strategic investment, concludes the note from the Franco-Italian manufacturer, will create over 1,000 direct and indirect jobs.
