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HomeEconomyRenault Algeria Plant in Oued Tlelat: Clarifications Amid Closure Rumors

Renault Algeria Plant in Oued Tlelat: Clarifications Amid Closure Rumors

Information circulating on social media has suggested the possible closure of the Renault Algeria plant in Oued Tlelat, near Oran. This plant, which has not produced vehicles since 2020 due to a lack of components, is currently on standby. The management of Renault Algรฉrie Production has responded to these rumors to clarify the situation.

“We do not confirm this information,” stated Rรฉmi Houillons, General Manager of Renault Algeria Production (RAP), in an interview with the newspaper Tout sur lโ€™Algรฉrie (TSA). However, the company has implemented measures to sustain its activities despite not having the necessary approval to resume production.

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The plant, launched in 2014, has been awaiting a response from Algerian authorities regarding its approval application for over a year now. “In the absence of an approval from the Industry Ministry to engage in vehicle manufacturing activities, and to ensure the sustainability of Renault Algรฉrie Production (RAP) and the operations at the Oran plant, a cost and staff adjustment plan was approved by RAP’s board of directors for implementation starting in October,” explained Houillons.

Ali Aoun, the former Minister of Industry, had stated that Renault would receive its approval “at the appropriate time,” but no specific date was provided. Following the ministerial reshuffle announced on Monday, November 18, Sifi Ghrieb has taken over as head of the Ministry of Industry. However, the document needed to restart operations has still not been issued.

“We regret this situation and are doing everything we can to best support RAP’s staff during this extended period of waiting for industrial activity to resume, which has accumulated 40 months of technical unemployment since 2020,” Houillons indicated.

In response to this situation, Renault Algeria has introduced a new social plan aimed at minimizing the impact on its employees while retaining “the maximum number of key skills to restart industrial activities as soon as possible upon receiving the approval,” according to the plant’s general manager, who also expressed the eagerness of Renault Algeria’s teams to relaunch the plant and contribute to “the automotive industry in Algeria.”

Meanwhile, the plant remains a joint venture owned by Renault (49%), Madar (34%), and the National Investment Fund (17%).

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