INTERVIEW Moroccan envoy highlights $1.5 bil. Hyundai Rotem deal, strengthening economic ties

Moroccan Ambassador to Korea Chafik Rachadi speaks during an interview at the Embassy of Morocco in Seoul, March 24. Korea Times photo by Kim Hyun-bin

Moroccan Ambassador to Korea Chafik Rachadi highlighted the growing economic partnership between the two countries, highlighting Hyundai Rotem’s recent $1.5 billion (2.2 trillion won) contract with Morocco’s national railway operator as a landmark achievement.

“Companies are increasingly recognizing Morocco’s strategic advantages, and the recent $1.5 billion contract between Hyundai Rotem and the Moroccan national railway operator is a testament to the country’s attractiveness as an investment destination,” Rachadi said in an interview with The Korea Times at the Embassy of Morocco in Seoul on March 24. “This contract, the largest ever secured by Hyundai Rotem, involves the delivery of double-deck electric trains and represents a significant step in Morocco’s preparations for co-hosting the 2030 FIFA World Cup.”

On Feb. 26, Morocco’s state-owned rail operator ONCF announced it will purchase 168 trains from France, Spain and Korea for $2.9 billion to expand its network.

For Hyundai Rotem, the contract entails the delivery of 110 commuter trains, contributing to Morocco's ambitious plan to expand and modernize its rail network in anticipation of co-hosting the 2030 tournament alongside Spain and Portugal. The trains are expected to enhance urban and regional connectivity, supporting ONCF's objective to double the number of cities served to 43, thereby covering 87 percent of the Moroccan population by 2040.

The ambassador clarified that Hyundai Rotem secured the entire contract independently, refuting speculation about a consortium with French and Spanish companies. “It is only with the Moroccan national railway operator,” he said. “This deal will strengthen economic cooperation and create further opportunities for collaboration.”

When asked about the competitive bidding process, Rachadi stressed that the contract was awarded through an open competition.

“There were competitors from all over the world. Hyundai Rotem’s offer was strong. It will not only be about delivering trains — there will be technology transfer, factory construction and training programs,” Rachadi said. “The manufacturing will primarily involve local workers, ensuring that the project benefits Morocco’s economy.”

The ambassador added that Morocco’s strategy is to create an ecosystem that will attract more Korean companies.

“This is a win-win cooperation,” he said. “Hyundai Rotem will use local infrastructure and engage with Moroccan and Korean suppliers. This deal is not just about one company — it opens the door for many other Korean firms to enter the Moroccan market.”

The $1.5 billion Hyundai Rotem deal is expected to have a significant impact on trade between the two countries. In 2023, trade volume between Morocco and Korea stood at approximately $550 million. However, Rachadi believes that this contract will drive further increases.

“This agreement is just the beginning,” he said. “It will create added value for Korea and Morocco. I am sure that Hyundai Rotem will not be alone — other Korean companies will follow, contributing to the development of Morocco’s railway industry and beyond.”

With Morocco strengthening its position as a leader in infrastructure development and renewable energy, and Korea seeking new markets, the ambassador expressed optimism about the future of bilateral economic relations.

“This deal is a milestone, but it is only the start of a deeper and more extensive economic partnership between Morocco and Korea,” he said.

Moroccan Ambassador to Korea Chafik Rachadi, left, speaks about Korea-Morocco relations during an interview with The Korea Times at the Embassy of Morocco in Seoul, March 24. Korea Times photo by Kim Hyun-bin

Bilateral ties

Korea and Morocco have built a strong and enduring partnership since establishing diplomatic relations in 1962.

“Morocco was the first African country to host a South Korean diplomatic mission, reflecting the significance of our historical ties,” Rachadi said.

The ambassador highlighted the deep historical connection between the two nations, noting that Moroccan-origin soldiers fought alongside Korean forces during the 1950-53 Korean War.

“That created a lasting bond between our people,” he said.

“Recent years have witnessed an intensification of high-level visits, the signing of meaningful agreements and economic cooperation, particularly in trade, investment, technology and renewable energy.”

He cited the 2024 Korea-Africa Summit as a turning point, emphasizing key agreements on investment, climate change and social security that laid the foundation for a stronger partnership.

Since assuming the role of dean of both the Diplomatic Corps and the African Group of Ambassadors in Korea in September 2024, Rachadi has prioritized strengthening African diplomatic engagement with Korea.

“My primary focus has been to expand trade and investment, facilitate diplomatic exchanges and promote cultural ties between Africa and Korea,” he said.

He stressed the importance of implementing agreements reached during the Korea-Africa Summit, stating that African envoys are actively identifying new opportunities for collaboration that align with Africa’s development goals and Korea’s economic interests.

“As dean of the Diplomatic Corps, I also work alongside my colleagues to support diplomatic efforts that promote peace and encourage constructive dialogue on inter-Korean relations,” Rachadi added.

Rachadi described Morocco as “a land of opportunity,” combining a rich history with modern economic potential.

“As a strategic gateway to Africa, Morocco stands out as a leader in sustainable development, renewable energy and innovation,” he said emphasizing that Morocco’s political and economic stability has been a key factor in attracting investment and fostering long-term growth.

Encouraging greater engagement from Korea, he invited Korean investors, businesses, students and travelers to explore the opportunities Morocco offers.

“Together, we can build a future of shared prosperity and mutual growth,” he said.