Global Trade With Morocco

252 Pond Street

                                                                            
                                            Hopkinton, MA 01748



GLOBAL TRADE IN AUTO PARTS: MOROCCO FREE TRADE AGREEMENT CREATING
OPPORTUNITIES



Immediate Release
Confirmation: 508 435-4882



Hopkinton, Mass. – Auto parts manufacturers in the Kingdom of Morocco are
focusing on the competitive dynamics of the USA aftermarket.  Earlier this
year Moroccan parts companies took advantage of a recently launched Morocco
New Business Opportunities (NBO) program. The program is financed by the US
Agency for International Development and executed by Nathan Associates, a
USA economic consulting firm.  NBO helps Moroccan firms export to the USA
and take advantage of the USA-Morocco Free Trade Agreement (FTA), which
began January 1, 2006.



Site visits in Morocco, seminars, and one-on-one meetings are part of the
NBO initiative.   Mr. Henry P. Allessio, managing director of Walden
Consultants Ltd. is the Senior Automotive Parts Sector Consultant for the
NBO program.  He has established a liaison with dozens of Moroccan parts
manufacturers that are eager for a better understanding of the USA market
requirements to enable sales to be made in the most effective ways.



Mr. Allessio reports, “The product quality across the board is exceptional.
ISO and forthcoming TS certifications are the rule, and the suppliers have
years of experience serving the OE requirements of Western Europe.”
“Moreover,” Allessio continues, “the positive attitude of the top
managements is an attribute which will support good relationship building
from the onset as these companies demonstrate their capabilities to
interested American companies.”  The sales development activities that are
underway are expected to gain momentum in the coming months.



Morocco has an educated workforce with an average wage which is ­­­about
one-fifth that of auto manufacturing wage levels in the EU (Spain), and
about the same as those in Turkey.  For USA importers, the USA-Morocco FTA
will, of course, reinforce Morocco’s cost advantage by eliminating tariffs.
Some quotations submitted by Moroccan companies have been competitive with
Asian-made goods.



Current NBO efforts are focused on developing aftermarket relationships in
the USA for specific Moroccan companies that supply filters (oil and air),
radiators, brake friction, and clutch facings.  Existing applications span
golf carts, passenger vehicles, and heavy-duty trucks.    Future activities
will include additional products, and an examination of OE opportunities at
various tier-levels of supply.  Other products preparing for USA market
entry are: exhaust, pistons, leaf springs, control cables, tempered glass,
seats, electronic assemblies, lighting lens, and a wide range of plastic
molded items.



Walden Consultants Ltd. regularly conducts corporate strategy, marketing,
competitive analysis, and acquisition planning assignments for domestic and
foreign clients.  Automotive businesses are one area of specialization for
the management consulting firm which has offices in Hopkinton, Mass.

                                                                            
                    hallessio@waldenconsultants.com