Morocco Develops Automobile Industry Despite Global Trade Slowdown

Employees work at the assembly line of Dacia Sandero cars at a factory operated by Somaca in Tangiers (file photo: Reuters)
Employees work at the assembly line of Dacia Sandero cars at a factory operated by Somaca in Tangiers (file photo: Reuters)
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Morocco Develops Automobile Industry Despite Global Trade Slowdown

Employees work at the assembly line of Dacia Sandero cars at a factory operated by Somaca in Tangiers (file photo: Reuters)
Employees work at the assembly line of Dacia Sandero cars at a factory operated by Somaca in Tangiers (file photo: Reuters)

Morocco’s recent involvement in global value chains for automobiles is an example of a country’s ability to expand its own trade despite global trade slowdown, according to the Arab Sustainable Development report.

The report, issued by the United Nations bodies operating in the region, headed by the Economic and Social Commission for Western Asia (ESCWA), said that Morocco sought to diversify its sources of growth through the development of the automotive industry by launching its Renault-Nissan Tangier plant in 2012.

The report noted that the automobile manufacturing saw a 20 percent annual growth in Morocco, and became a major driver for the country’s exports, adding that it is supposed to help launch the Peugeot-Citroen plant in Kenitra, further consolidating its position.

It also indicates the untapped potential for Arab countries to participate in the international economy.

The report noted that “improved investment is a policy choice” calling upon Arab countries to support innovation and entrepreneurship, absorb the potential and capacities of youth, create a conducive environment for the development of new industries, and integrate countries further into global value chains.

“Make greater efforts to forge agreements between countries to foster full regional integration and increased access to global value chains.”

In the field of adopting modern technology as a mechanism for implementation in the Arab region, the report sees that Morocco, along with a few other countries, has adopted noteworthy initiatives. It pointed out that educational systems, political structures, and social norms in most countries do not focus on critical thinking and creativity, which prevented the emergence of a critical mass of people effectively using, innovating, and producing technology.

The weak absorptive capacity in many countries has resulted in the widespread consumerist approach where people use technologies and products, without producing or adapting them according to their local needs.

Morocco is one of the few Arab countries that have adopted guaranteeing access to information as a fundamental right, according to the report.

Also, the document highlighted that some countries have made great strides in reducing maternal mortality, including Morocco, especially in rural areas.

It called for greater equality in health care provided especially maternal health care and during childbirth, however, it criticized the absence of social protection systems that mitigate marginalization and exclusion in the region.

The report warned that in the Arab region, the poor, refugees, and displaced people are at the risk of being left behind when it comes to social development goals. It cautioned that the impact of the situation is borne disproportionately by groups that face multiple layers of social, economic, or political marginalization including women, persons with disabilities, migrant workers, refugees, and displaced persons.



Iraq in Talks with Gulf States on Pipeline Exports beyond Hormuz

Workers carry out maintenance on a pipeline at a gas separation station in the Zubair oil field near Basra (AP). 
Workers carry out maintenance on a pipeline at a gas separation station in the Zubair oil field near Basra (AP). 
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Iraq in Talks with Gulf States on Pipeline Exports beyond Hormuz

Workers carry out maintenance on a pipeline at a gas separation station in the Zubair oil field near Basra (AP). 
Workers carry out maintenance on a pipeline at a gas separation station in the Zubair oil field near Basra (AP). 

Iraq is in talks with Gulf countries to use their pipeline networks to secure alternative oil export routes beyond the Strait of Hormuz, the state oil marketer SOMO said Thursday.

The move is part of an emergency strategy by the oil ministry to tap regional infrastructure and bypass maritime chokepoints, ensuring Iraqi crude continues to reach global markets while offsetting higher transport costs linked to the current crisis.

Ali Nizar al-Shatari, head of the State Organization for Marketing of Oil (SOMO), said the ministry is prioritizing negotiations to access Gulf pipeline systems extending beyond the Strait of Hormuz and into the Arabian Sea, allowing exports to avoid areas of military tension.

“The goal is to secure stable routes that guarantee efficient flows of Iraqi oil at lower transport costs,” Shatari said, adding that Iraq generated about $2 billion in oil revenues in March, up 28 percent from February.

He said SOMO exported around 18 million barrels of crude from Basra, Kirkuk and the Kurdistan region by using all available outlets, including southern ports that operated until early March and northern routes to Türkiye’s Mediterranean port of Ceyhan.

As part of efforts to diversify export options, Shatari revealed that the first shipments of fuel oil and Basra Medium crude successfully reached Syrian ports.

He noted that Iraq had signed a deal to export 50,000 barrels per day via this route, describing cooperation with Syria as “very significant,” with storage and security provided to ensure safe delivery to the port of Baniyas.

The route has proven effective and could become a permanent option after the crisis, he added.

Shatari further noted that the oil ministry is close to completing repairs on the Iraq-Türkiye pipeline, which suffered extensive damage in previous years.

Technical teams have inspected the most difficult terrain, with about 200 kilometers (125 miles) still to be assessed in the coming days before full pumping of Kirkuk crude resumes.

In a notable logistical move, Iraq has begun pumping Basra crude northwards for export via Ceyhan.

Flows started at 170,000 barrels per day and are expected to stabilize between 200,000 and 250,000 bpd, helping offset disrupted southern exports and supply energy-hungry markets in Europe and the Americas.

Shatari said Iraq has benefited from rising global prices by selling Kirkuk crude — a medium-grade oil — at strong premiums.

He also confirmed the reactivation of an agreement with the Kurdistan region to reuse the pipeline through the region to Ceyhan, helping lift total exports to 18 million barrels in March.

This came despite a drop in production in Kurdistan fields to about 200,000 bpd due to security threats, he added.

 

 


World Food Prices Rose in March as Iran War Lifted Energy Costs, FAO Says

 A farmer carries harvested rice at a paddy field in Samahani, Aceh province on April 2, 2026. (AFP)
A farmer carries harvested rice at a paddy field in Samahani, Aceh province on April 2, 2026. (AFP)
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World Food Prices Rose in March as Iran War Lifted Energy Costs, FAO Says

 A farmer carries harvested rice at a paddy field in Samahani, Aceh province on April 2, 2026. (AFP)
A farmer carries harvested rice at a paddy field in Samahani, Aceh province on April 2, 2026. (AFP)

The war in the Middle East has pushed food commodity prices higher due to higher energy and fertilizer costs, the UN's food agency said Friday. 

The UN's Food and Agriculture Organization (FAO) said its Food Price Index, which measures the monthly changes in international prices of a basket of food commodities, had increased 2.4 percent in March from February. 

It was the second rise in a row, which the agency said was largely due to higher energy prices linked to conflict in the Middle East. 

Within the index, the category of vegetable oil saw the sharpest rise, of 5.1 percent over February, as palm oil prices reached their highest point since the middle of 2022, due to effects from spiking crude oil prices, FAO said. 

However, a "broadly comfortable" supply of cereal has cushioned the damaged from the conflict, FAO said. 

"Price rises since the conflict began have been modest, driven mainly by higher oil prices and cushioned by ample global cereal supplies," said FAO Chief Economist Maximo Torero in a statement. 

But he warned that if the conflict goes on beyond 40 days and the high prices on fertilizer continue, "farmers will have to choose: farm the same with fewer inputs, plant less, or switch to less intensive fertilizer crops". 

"Those choices will hit future yields and shape our food supply and commodity prices for the rest of this year and all of the next." 

Disruptions to production and supply chain routes had also introduced "additional uncertainty" into the outlook for wheat and maize, FAO found. 


Turkish Inflation Near 2% Monthly in March, Below Forecasts

A full moon rises behind Galata Tower, in Istanbul, Türkiye, Thursday, April 2, 2026. (AP)
A full moon rises behind Galata Tower, in Istanbul, Türkiye, Thursday, April 2, 2026. (AP)
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Turkish Inflation Near 2% Monthly in March, Below Forecasts

A full moon rises behind Galata Tower, in Istanbul, Türkiye, Thursday, April 2, 2026. (AP)
A full moon rises behind Galata Tower, in Istanbul, Türkiye, Thursday, April 2, 2026. (AP)

Turkish consumer price inflation was 1.94% month-on-month in March, while the annual figure fell to 30.87%, data from the Turkish Statistical Institute showed ‌on Friday.

In ‌a Reuters ‌poll, ⁠monthly inflation was ⁠forecast to be 2.32%, with the annual rate seen at 31.4%, driven by ⁠a rise in ‌fuel prices ‌and weather-related pressures ‌on food inflation.

In ‌February, consumer prices rose 2.96% month-on-month and 31.53% year-on-year, broadly in ‌line with estimates and reinforcing expectations that ⁠the ⁠disinflation process may be stalling.

The data also showed the domestic producer index rose 2.30% month-on-month in March for an annual increase of 28.08%.