UAE's Aabar, German firms in Algeria car plants deal

UAE investment firm Aabar said on Monday it has signed a deal with the Algerian government to develop vehicle and engine manufacturing plants in conjunction with five German firms.

Aabar said the project will be led by the German truck manufacturer MAN Ferrostaal. Daimler, Deutz, MTU and Rheinmetall will participate as technology partners providing licences and intellectual property.

"Assembly is expected to start in 2010 following the modernisation or development of plants in Tiaret, Ain Smara and Oued Hamimine," Aabar said in a statement, without giving the value of the deal.