Table of Contents
Key Points
- Algerian tycoon Abderrahmane Benhamadi partners with Hisense to invest $200 million in a major air conditioner factory, set to produce two million units annually.
- About 80% of air conditioners from the new Algerian plant will be exported, leveraging free trade agreements to cut manufacturing costs.
- Benhamadi’s new air conditioner plant aims to cut reliance on imports and rival Egypt’s Raya Electric, which partners with LG for AC manufacturing.
Algerian tycoon Abderrahmane Benhamadi is making a big move in the electronics industry through a new partnership between his company, Condor Electronics, and Chinese appliance giant Hisense. Together, they are building Africa’s largest air conditioner plant in Algeria.
Condor, Hisense expand air conditioning production
The facility, set to be built in Bordj Bou Arreridj, about 240 km east of Algiers, will require a $200 million investment. Production is expected to start within a year, with the plant capable of making two million air conditioners annually.
About 80 percent of these will be exported, while the remaining 20 percent will serve the local market. The agreement was signed in Cairo by Benhamadi, Chairman and Founder of Condor Electronics, and Jason Ou, Hisense’s Vice President for Africa and the Middle East. “This partnership will strengthen Algeria’s industrial sector, particularly in household appliances and air conditioning,” Condor Electronics said in a statement.
With Hisense as a partner, Condor plans to capitalize on Algeria’s free trade agreements and bilateral conventions, which remove customs taxes and make manufacturing and exporting from Algeria more cost-effective than from China.
Algeria’s Condor strengthens electronics market
Abderrahmane Benhamadi, who ranks as one of Algeria’s richest individuals, has been a driving force in Algeria’s industrial sector through the Benhamadi Group, which spans construction, hospitality, and agri-food.
One of its standout units, Condor Electronics, has become a household name, manufacturing televisions, smartphones, computers, household appliances, and solar panels. In 2024, Condor Electronics expanded its footprint by launching a new smartphone production unit, strengthening its presence in the Middle East and North Africa’s electronics market.
The company is now Algeria’s second-largest smartphone brand, trailing only Samsung, and remains a strong contender in the television, refrigerator, and washing machine markets.
Benhamadi challenges imports with new factory
Benhamadi’s latest move—setting up an air conditioner plant—is part of a broader effort to boost local production and cut reliance on imported parts, giving Algeria’s economy a lift. The project is expected to shake up competition in the region, especially with Egypt’s Raya Electric.
In August 2024, Raya Electric, led by Medhat Khalil and a subsidiary of Raya Holding for Financial Investment, teamed up with LG Electronics to manufacture LG-branded air conditioners in Egypt.
