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China’s Jingdong to build $500m steel plant in Algeria

Boussaada, in Algeria's M'Sila region, where the Jingdong Steel plant will be built APP via Reuters Connect
Boussaada, in Algeria's M'Sila region, where the Jingdong Steel plant will be built

Chinese company Jingdon Steel is planning to build a plant in Algeria at a cost of around $500 million, with half the output destined for the export market.

On Monday it signed a contract for the 500,000-tonne-capacity plant on with Omar Rekkache, director general of the Algerian Investment Promotion Agency (AIPA).

AIPA, which was created two years ago to attract capital to the North African country, said the project is located in the Northern M’sila province.

The project, part of an ongoing industrialisation drive to diversify the oil-reliant economy, will be executed in two phases.

“The project is expected to generate nearly 1,100 direct jobs and 2,000 indirect job opportunities for Algerians,” it said in a statement carried by Algeria’s press.

The project will rely mostly on local produced raw materials and production will be evenly split between the local market and export, it added.

Algeria, a major gas producer, has reported a sharp rise in foreign capital since it began enforcing a new investment law over two years ago.

AIPA, which was created by the government in late 2022, reported last month that it has registered 12,843 projects up to March 2025 with a total value of around 5.776 billion Algerian dinars ($43.5 billion).

Foreigners pumped nearly DZD1.189 billion ($8.9 billion) into 235 large industrial projects during the period between November 2022 and last month, AIPA said.

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