Tuesday, 22, June, 2021

According to the Investment Program for 2021-2023, approved by the Dec. 28 presidential decree, several companies are planning to launch the production of vehicles in Uzbekistan.

Navoi-Motors

The privately-owned Navoi-Motors in Navoi province intends to launch the production of pickups, mini-trucks, minivans, SUVs, electric vehicles and tractorsn in Karmana district.

The design capacity is 12 thousand vehicles per year. The project is estimated at US$ 12 million, of which US$ 6 million is to be disbursed in 2021, and with 100 jobs to be created.

The Austria-based Parsalpine Management Gmbн, which also has invested in the production of fertilizers in Navoi Agro Fertilizers, is said to be the foreign partner.

Manas Avto-Sanoat

The Manas Avto-sanoat company from Namangan province has plans to launch production of 3,000 trucks per year in Turakurgan district.

The US$ 10 million project will reportedly create 220 jobs.

The Turkish company Manas Savunma AS is indicated as the foreign partner.

Namangan Changan Motors

The investment program also includes Namangan Changan Motors at the Namangan free economic zone, which provides for assembly of small trucks under the Chinese Changan brand. The production of mini-trucks will be launched within the framework of the Compatriots Abroad project. A total of US$ 5.8 million was invested in production. These are 800 thousand dollars of the Namangan businessman Zhobirkhon Khamidov, who has been living in the UAE for the last 10 years, as well as US$ 2 million of foreign investment by Mustafa Rent A Car L.L.C and a US$ 3 million bank loan.

At the first stage, Namangan Changan Motors will produce 1,800 mini-trucks with a carrying capacity of 1-1.5 tons per year and will create 140 jobs.

ADM-Jizzakh

LADA and Renault modesl are scheduled to be launched at Jizzakh FEZ. The vehicles are expected to be assembled at Roodell's ADM-Jizzakh plant. In September Kia models were also reported to be manufactured at this facility.

According to the investment program, the design capacity will be 100 thousand vehicles per year. The project is estimated at US$ 60.9 million, of which US$ 33.3 million is planned to be disbursed in 2021.

The foreign partner of the company is the Korea’s Eximbank.

Auto Motors Asia

Auto Motors Asia is preparing to launch the production of crossovers, trucks and minibuses in Jizzakh.

The design capacity is 27 thousand vehicles per year, and the volume of investments is US$ 16.2 million.

The foreign partners are the Chinese China Dong Feng Motor Industry and Hebei Changan Automile.

Abbos-Eco Agro

In the Surkhandarya province, the Abbos-Eco Agro company plans to establish the production of cars, minivans and mini-trucks.

The project is estimated at US$ 30 million, and the capacity is 10 thousand vehicles per year.

The foreign partner will be the Chinese holding Beijing Automotive Group (BAIC Group).

Нyundai Motor Uz Namangan

The investment program also includes the Hyundai Motor Uz Namangan company with the production of 3,000 commercial trucks per year in the Namangan province in cooperation with Hyundai Motors and Evergreen Motors (Korea).

In November 2018, Uzbekistan and the Republic of Korea signed an agreement on the construction of a Hyundai car plant in the Namangan province. It was also reported that the first vehicle would be released in September 2019, with the annual production of 2,500 small trucks, minibuses and buses. But construction work was suspended for some reasons.

The acting Namangan province governor Shavkat Abdurazzokov said in December last year that the Uzbek side had fulfilled all obligations under the car plant project in Namangan.

“At the request of South Korean investors, a place has been allotted in the free economic zone, with cooperation agreement signed. However, due to the change among the South Korean founders , as well due to the change in the geography of their activities resulting from the outbreak of the pandemic, work on the project was temporarily suspended,” UzA quoted him as saying.

According to the governor, the partners had proposed a new cooperation agreement.

“We have already held talks on this issue twice. The partners proposed a new cooperation agreement. We signed an agreement on drawing additional investments and developing the enterprise. Now we are waiting for the signing of this deal by the South Korean side. Our goal is to launch this project as soon as possible. We are currently awaiting response from our partners,” said Shavkat Abdurazzokov.

During his address to the parliament on December 29, the President Shavkat Mirziyoyev said that “thanks to building the healthy competition and creating equal opportunities in the automotive industry”, the number of manufacturers will rise.

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