In a significant move aimed at bolstering economic ties, Kyrgyzstan's President Sadyr Japarov has ratified an agreement with Uzbekistan to establish a state-of-the-art plant for the production of passenger cars and commercial vehicles. This venture is supported by Uzavtoprom, an entity that unites various enterprises within the Uzbek automobile industry.
The Plant's Location and Key Players
The plant is slated to be constructed in the Chui region, strategically positioned just 50 km from the capital, Bishkek. Spearheading the project from the Kyrgyz side are private companies DT Technik and Nur.
The latter, JSC Nur, is an industrial complex with extensive technological capabilities, previously involved in the production of electrical appliances and collaboration with Uzavtoprom for component supplies. DT Technik, on the other hand, specializes in equipment supply and wholesale trade in auto parts
Vehicle Portfolio and Production Stages
The ambitious project aims to manufacture a diverse range of vehicles, including minibusses, pickups, and sedans, totaling 19 different types. The initial phase will see the adoption of the Semi-Knocked-Down (SKD) method to produce up to 10,000 units within the first three years. Looking ahead, the goal is to ramp up production to an impressive 30,000 vehicles annually.
Brands on the Assembly Line
At the forefront of the production lineup are renowned brands such as Chevrolet for passenger cars and Isuzu for commercial vehicles. This collaboration not only promises a boost to the automotive industry in the region but also positions Kyrgyzstan as a potential hub for the assembly of these globally recognized vehicles.
Funding and Future Prospects
While the project is set to be primarily funded by private investments, there is a provision for seeking support from the Kyrgyz-Uzbek Development Fund if the need arises. The signing of the agreement on January 27 in Bishkek, following the state visit of Uzbekistan's President Shavkat Mirziyoyev, underscores the commitment of both nations to fostering economic cooperation.
The collaboration between Kyrgyzstan and Uzbekistan to establish a cutting-edge automotive plant marks a significant milestone in the economic landscape of the region.
As the project unfolds, it holds the promise of not only meeting domestic demand for vehicles but also contributing to the overall economic growth and industrial development of both nations. This strategic partnership sets the stage for a dynamic future in the automotive sector, with potential benefits rippling across various facets of the Kyrgyz and Uzbek economies.