Localization of auto industry reaches 60% in Uzbekistan
Tashkent, Uzbekistan (UzDaily.com) --
Localization level of auto industry reached 60% now and the process is continuing, financial analyst of AFS-Research Vyacheslav Luchkin told journalists, REGNUM News reported.
He said within the localization and import-replacing programme, the industry localized production of car body parts, bumpers, seats, fuel tank, wheels, storage batteries and others.
About 370 details to Nexia car model, 200 details to Matiz model and 240 details to Damas mini-buses were localized during 1996-2008.
Luchkin also underlined expansion of export geography of the Uzbek carmakers. Now, the Uzbek car exported to Russia, Azerbaijan, Kazakhstan, Moldavia, Ukraine and Belarus. The Uzbek carmakers plan to open trade houses in Georgia, Armenia, Turkmenistan and Kyrgyzstan.
AFS-Research analyst said South Korean ERAE CS Ltd and Indian Ashok Minda Group are planning to launch capacities on production of auto components at Navoi free industrial-economic zone.
The cost of project of ERAE CS Ltd is US$32 million. The Korean firm will launch enterprise with production of car wires with the capacity of 130,000 km per year with the cost of US$13 million. The second plant will produce generators and its capacity will be 360,000 per year and its cost is US$19 million.
The construction of plants will start in the second half of 2009. ERAE CS will finance due to own funds and credits, attracted by Korean investors.
The main part of the product will be directed to GM Uzbekistan, an Uzbek-US carmaker.
Delhi-based auto component maker Ashok Minda Group, plans to set up a new manufacturing facility in Uzbekistan with an initial investment of US$25 million to feed Russian and CIS markets, said the group chairman.
The company will produce instrument cluster for cars (where speedometer and techometer devices are fitted) and vehicle security systems
Construction of GM Powertrain Uzbekistan has been launched in Zangiata district of Tashkent region. The plant will be commissioned in the end of March 2011. The plant will produce 360,000 car engines a year.