Attribution d’un contrat de concession à Jingdong Steel pour la réalisation d’un projet sidérurgique à M’sila
Summary of Jingdong Steel’s New Project in Algeria
The Chinese company Jingdong Steel has recently secured a concession contract to establish a steel and iron production factory in the M’sila province of Algeria. According to a statement from the Algerian Agency for Investment Promotion (AAPI), the facility will occupy a 36-hectare site within the industrial zone of Draâ El Hadja.
The contract presentation took place on Monday, led by AAPI’s General Director, Omar Rekach. Jingdong Steel plans to implement this significant project in two distinct phases. The first phase includes setting up a production line for steel sheets, with an annual capacity of 200,000 tons. The second phase focuses on developing a steel tube manufacturing unit, which aims to produce 300,000 tons annually.
This ambitious project is projected to yield a total production capacity of 500,000 tons of various steel products per year, including sheets and tubes. It is positioned as a critical industrial base for steel production aimed at the North African construction sector.
Moreover, the initiative is expected to bolster local employment, creating approximately 1,114 direct jobs and an additional 2,000 indirect jobs. One of the key components of the project includes a technology transfer mechanism. This will be facilitated by the establishment of a training center dedicated to skills development in the iron and steel industry.
Valued at around $500 million, the project will significantly rely on locally produced raw materials, accounting for around 80% of its needs. The production will cater to both domestic and international markets, with half of the output targeted for local consumption and the remaining portion earmarked for export.
Overview of the Project and Its Objectives
Jingdong Steel’s initiative represents a substantial investment in Algeria’s manufacturing capabilities, illustrating the growing economic ties between Algeria and China. The establishment of this factory is expected to fulfill a crucial demand for steel products in the region, contributing to various construction projects across North Africa.
Economic Impact
The creation of direct and indirect jobs will not only support local economies but also contribute to skill enhancement through the proposed training center. The focus on integrating local raw materials emphasizes the project’s commitment to sustainable practices and economic development.
Furthermore, allocating 50% of the production to exports can strengthen Algeria’s position in the regional steel market while helping to diversify its economic sources.
Conclusion
With the dual objectives of enhancing local manufacturing and providing job opportunities, Jingdong Steel’s project stands as a beacon of potential economic growth and collaboration between Algeria and international investors. This factory is anticipated to be a linchpin for the region’s industrial landscape, especially in steel production, underscoring the importance of investments in infrastructure for the future development of North Africa.
