Morocco is reportedly in the final stages of negotiating several major defense contracts with France, ahead of French President Emmanuel Macron’s visit to Morocco in late October, French media reported.
The deals include helicopters and submarines and could further strengthen ties between the two countries amid improving diplomatic relations.
French news outlet La Tribune reported earlier this week that Morocco is in advanced talks with Airbus Helicopters to purchase between 12 and 18 Caracal helicopters.
The helicopters would be split between the Moroccan Air Force and the Gendarmerie, and the deal is estimated to be worth between EUR 600 million and EUR 800 million.
The contract would provide a boost to Airbus Helicopters’ manufacturing plants in France, where Safran Helicopter Engines supplies the engines for the Caracal. The potential deal is expected to be a major focus of Macron’s upcoming visit.
Airbus is also negotiating with Royal Air Maroc (RAM) to supply new aircraft, including A220, A320, and A330 models.
RAM has traditionally relied on Boeing for most of its planes, however, this deal could give Airbus a bigger role in Morocco’s aviation sector.
While Airbus is making progress in helicopter and aviation deals, French defense contractor Naval Group is facing tough competition from South Korean companies Hanwha and Hyundai.
Both South Korean firms are competing with Naval Group to sell Morocco two submarines and build a submarine base. The South Korean companies offer more competitive options with advanced technology, putting pressure on Naval Group. Morocco is likely to reach a purchase decision on the submarines by 2025.
Regarding land defense, Morocco seems to be shifting away from French suppliers. Despite recent progress on a 2020 deal with KNDS France for 36 Caesar artillery systems, the country is working with India’s Tata Advanced Systems Ltd (TASL) to produce armored vehicles. TASL plans to set up a factory in Casablanca to build these vehicles for Morocco’s military, with the goal of expanding into the African market.