A delegation from the Mouvement des Entreprises de France (Medef) is set to visit Algeria on Thursday, with its president Patrick Martin leading around 40 senior company executives, in an economic push aimed at repairing trade relations strained by political tensions over the past two years.
According to sources within the French diplomatic network based in Algeria, the mission seeks to inject new momentum into direct economic dialogue between the two sides and to restore the position of French companies in the Algerian market.
The visit is also seen as a practical step toward rebuilding trust between economic stakeholders, with the goal of moving past a period of stagnation and reviving trade and investment flows.
Reports cited by Algerian daily El Watan on Wednesday, quoting sources close to the Algerian Economic Renewal Council - the country’s largest employer body - said Medef’s visit will last two days.
The trip comes after a prolonged period of tension in bilateral relations that has affected economic exchanges. Observers say the move is not merely a protocol visit but an attempt to relaunch dialogue between business communities on both sides.
The main objective is to resume talks within the framework of the Algeria-France Economic Relations and Friendship Council, chaired by businessman Kamel Moula, who also heads the Algerian Economic Renewal Council, at a time when French economic presence in Algeria has significantly declined in recent years.
Sources from the Algerian Economic Renewal Council told Asharq Al-Awsat that the planned meetings in Algiers will be limited to bilateral sessions focusing on priority sectors, notably food security and energy - through projects linked to solar power and green hydrogen - as well as healthcare, digitalization and construction.
The mission offers French companies an opportunity to reaffirm their presence and reassure partners of their long-term commitment, the same sources said. It also aims to address certain obstacles, including lengthy administrative procedures, which are estimated to have tripled since 2024.
Observers consider the visit a key test of prospects for reviving economic relations between the two countries.
The Medef visit comes amid signs of a gradual political thaw in relations between Algiers and Paris. A visit by French Interior Minister Laurent Nunez to Algeria in February, during which he was received by President Abdelmadjid Tebboune at the presidential palace, helped pave the way for a measured easing of tensions.
In recent media comments, Michel Bisac, head of the Algerian-French Chamber of Commerce and Industry, warned of the potential fallout from the political crisis between Algeria and France, fueled by political and media circles close to the far right. The crisis erupted in summer 2024 after Paris recognized Moroccan sovereignty over Western Sahara.
“We are in a very delicate situation,” Bisac said, expressing regret over threats “not only to political ties but also economic relations between the two countries.”
He added that if Algeria were to apply to France the same trade measures it previously imposed on Spain after Madrid backed Morocco’s autonomy plan for Western Sahara in 2022, “the bill would be costly for the French economy, with losses approaching 4.8 billion euros.”
That figure reflects the value of French exports to Algeria, a key pillar for several industrial sectors’ foreign trade. Bisac noted that around 6,000 French companies currently operate “for and with Algeria,” supplying goods and services or engaging in industrial partnerships.
“These companies would face serious difficulties if the situation worsens,” he warned, stressing the growing fragility of bilateral economic exchanges. “Until recently, I had great hope ... but today I want to clearly stress the need to avoid escalation.”
