AGC Asahi Glass (AGC) announces that AGC Automotive Europe, a member of the AGC Group, has reached a basic agreement with Induver Holding, a glass manufacturer in Morocco, to set up a joint venture for manufacturing automotive glass.
Establishment of the production base marks the AGC Group’s first operations in North Africa. This latest deal is subject to approval by the relevant local authorities.
Morocco has been enjoying the highest economic growth in North Africa, reflecting its position in recent years as a production base for Europe. Automakers in Europe have already decided or plan to set up operations in the country. Automobile production in Europe exceeds 20 million units annually, and is forecast to continue growing at approximately two percent a year. Considering these factors, the AGC Group has decided to establish an automotive glass manufacturing company through a joint venture with Induver in Kenitra Province in the northern coastal area of Morocco. The new joint venture is expected to start commercial production in 2019 and provide customers in Europe and North Africa with high value-added products and services such as laminated glass and tempered glass (production capacity: approximately 1.10 million vehicles/year).
The AGC Group has been working to expand its operations for the automotive glass business by positioning it as a growth business. Through expansion into North Africa, we will capture demand for automotive glass in Europe and North Africa with the aim of further increasing our corporate value under the management policy AGC plus.