Italy's Machinery Surge Marks Shift in Algeria Partnership

Algeria and Italy are strengthening their economic ties, with Algerian energy exports dominating bilateral trade. In the first half of 2026, Algeria-Italy trade reached €6.78 billion, with Italian machinery shipments surging to nearly €650 million. This marks a significant shift in the partnership, which is now centered on energy security, industrial investment, and production capacity.

Natural gas accounted for more than €4.3 billion of Italy's imports from Algeria during this period, representing over 82% of total Algerian exports to the Italian market. The value of gas purchases was stable, with a slight decrease of 0.06% year on year. Refined petroleum products and crude oil followed at €442 million and €327 million respectively.

The resulting Algerian trade surplus stood at approximately €3.66 billion, with Algerian exports accounting for nearly 77% of bilateral trade. Italian machinery and industrial equipment now make up a significant share of Italian exports to Algeria, supporting the country's efforts to expand domestic productive capacity.