BAKU, Azerbaijan, January 6. The establishment of the Turkic Auto Industry conglomerate will allow the transfer of production facilities in Kazakhstan and Azerbaijan from SKD (semi knocked-down) to a full production cycle, as well as increase their localization level, Trend reports via the Uzbekistan 24 TV channel.
In the meantime, as noted in the report, Uzbekistan will gain new prospects to distribute the domestic automotive brand.
Plants in Kazakhstan and Azerbaijan will assemble new Chevrolet models via Uzbekistan’s UzAuto Motors. Therefore, the supply of components from Uzbekistan to these countries will grow, said the report.
"In 2017, UzAuto Motors commenced the production of Chevrolet cars in Kazakhstan. A total of 60,000 cars are expected to be manufactured in 2023. Work on producing the Onix car is also currently underway," the channel added.
It was also revealed that Azerbaijan's Azermash plant launched a car and bus production project in September 2022, and starting this year, customers would be offered a new modification of the Tracker car.
Previously, a source in the Uzbek Presidential Administration told Trend that the country, in cooperation with Azerbaijan and Kazakhstan, is looking to establish a 'Turkic Auto Industry conglomerate'.
The conglomerate idea involves the establishment of cooperation between UzAuto Motors, the Azermash vehicle production plant, and Saryarka AvtoProm LLP, the largest automobile manufacturing enterprise in Kazakhstan.
The mentioned companies have been assembling Chevrolet cars from parts supplied by Uzbekistan, for several years now.
The idea to establish a conglomerate is based on strong ties in the machine-building of the three countries. For example, back in June 2022 a Memorandum between Azermash OJSC and UzAvtoSanoat JSC on localization of car production in Azerbaijan was signed by the Chairman of the Board at Azermash Emin Akhundov and Deputy Chairman of UzAvtoSanoat Sardor Tadjiyev.