Economy June 12, 2026 09:25 AM

Morocco Weighs Chinese Free Trade Offer as It Seeks to Broaden Export Markets

Industry minister says government is assessing economic impact of a proposed FTA that could open Chinese market to Moroccan manufacturers

By Nina Shah
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China has approached Morocco with a proposal for a free trade agreement, Morocco's Industry and Trade Minister said. The government is reviewing potential effects on export-focused manufacturing sectors, but has not opened formal negotiations. Any agreement would be subject to consultations with businesses and a consideration of Morocco's existing trade pacts.

Morocco Weighs Chinese Free Trade Offer as It Seeks to Broaden Export Markets
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Key Points

  • China has requested a free trade agreement with Morocco; the proposal is under consideration but formal negotiations have not begun.
  • A deal could grant Moroccan manufacturers increased access to the Chinese market and help diversify trade away from Europe, affecting sectors such as automobiles, aerospace and batteries.
  • Any agreement would require consultation with businesses and government officials and must be evaluated in the context of Morocco's current free trade agreements with partners including the EU and the US.

China has formally proposed a free trade agreement with Morocco, the North African kingdom's Industry and Trade Minister Ryad Mezzour said in an interview. Moroccan authorities are currently studying the offer to determine whether closer economic ties with Beijing would be advantageous for the country's manufacturing exporters.

Mezzour described the proposal as being under active consideration but stressed that Rabat has not commenced formal negotiations. The government is reviewing the potential economic implications of a deal before taking the next steps.

The minister noted that a trade agreement with China could expand market access for local manufacturers and support Morocco's strategy of diversifying trade relationships beyond its traditional European partners. Over the past two decades Morocco has developed a range of manufacturing activities, including in the automobile, aerospace and battery sectors, industries that have been important to the country's export growth.

Morocco already maintains free trade agreements with multiple partners, including the European Union and the United States. Mezzour said any new pact with China would need to be weighed against those existing arrangements to understand how it might interact with current commitments.

"We need to evaluate what impact it would have on our economy" and how it might affect our other free trade agreements, Mezzour said, underlining the need for a careful assessment of cross-effects before proceeding.

The minister also confirmed that Morocco is pursuing a separate free trade agreement with Chile. He said that agreement is expected to support higher exports, citing automobiles as an example of goods that could reach the South American Mercosur trade bloc more easily if the deal is finalized.

Mezzour emphasized that any new trade arrangement with China would require consultation with businesses and government stakeholders. Those consultations would form a core part of the evaluation process that precedes any formal talks, the minister said.


Bottom line - Morocco is assessing a Chinese proposal for a free trade agreement but has not started negotiations. The government will consult industry and weigh the proposed deal against existing trade accords as it determines the next steps.

Risks

  • Uncertainty over how a new agreement with China would interact with Morocco's existing free trade agreements - potential implications for trade policy and market access.
  • Potential economic impact on domestic industries if market access shifts or if competitive dynamics change as a result of an FTA with China.
  • Negotiations have not started, so timing and outcome are unclear, creating near-term uncertainty for companies planning export strategies.

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