VW Opens Assembly Plant in Algeria

Volkswagen has opened a vehicle assembly in Algeria as part of its joint venture with SOVAC S.P.A. to produce a lineup of VW models.

The joint-venture, SOVAC Production S.P.A., established the assembly plant which has a capacity of up to 200 units a day, according to VW.

It began production with the VW Golf, Caddy, Seat Ibiza and Skoda Octavia. VW's Polo and Skoda's Fabia will be added in 2018.

"The African continent offers considerable growth opportunities for the Volkswagen Group. With the new plant in Algeria, we are expanding the presence of Group brands in North Africa together with our partner SOVAC," said VW chief executive Herbert Diess.

The plant has started with more than 550 employees but is looking to employee up to 1,800. Additional jobs will be toward adding suppliers and logistics service providers, the automaker said.

The Sovac Production S.P.A assembly plant is located in Relizane, Algeria.