GM Uzbekistan starts exporting Spark cars
Uzbekistan, Tashkent, Nov. 8 / Trend D.Azizov /
GM Uzbekistan has started exporting the subcompact Chevrolet Spark vehicle, a source in GM Uzbekistan told Trend today. The first shipments of the new car will be delivered to Russia. The company plans plans to export 850 cars to Russia by late 2010.
In February 2010, GM DAT and Uzavtoprom signed a memorandum of understanding to organize the production of Chevrolet Spark through the GM Uzbekistan joint venture.
Based on the document, GM Uzbekistan will be the exclusive manufacturer and seller in the CIS.
In late 2008, GM Uzbekistan and GM DAT signed an agreement to launch the production of a new A-class model worth $124.5 million. Project production capacity is 50,000 cars per year, 20,000 of which will be exported. Chevrolet Spark production started in late August.
The project is financed through the joint venture's credit founders and AK Uzavtoprom equity.
Spark is the seventh model to be produced at GM Uzbekistan. To date, GM Uzbekistan has produced six types of vehicles, including two Chevrolet models - Captiva and Epica.
UzDaewooAuto was created on a parity basis by the Uzbek government and South Korean Daewoo Motors. In May 2005, Uzavtosanoat purchased 50 percent of the shares in Daewoo Motors at UzDaewoo Auto for about $110 million. General Motors and Uzavtosanoat completed the process of creating GM Uzbekistan on the base of UzDaewooAuto in late March 2008. The new venture's charter capital is $266.7 million.
General Motors owns 25 percent plus one share in the new venture and may increase its share to 40 percent. Currently, Uzavtosanoat possesses a 75-percent share in GM Uzbekistan.
GM Uzbekistan started producing a modernized Nexia model in 2008 and the Lacetti series. Total investment in these projects reached $65.5 million.
GM DAT and AK Uzavtoprom also reached an agreement to develop a new business-class sedan, GSVEM, by late 2011.
Production of the two new models is part of the business plan signed by the Uzbek government and GM DAT in May 2007.
GM Uzbekistan, a joint venture of GM and Uzavtosanoat, increased its car production by 5.1 percent to 205,011 units in 2009.
In 2009, the venture produced 90,650 Nexia cars (down by 4.6 percent), 69,130 Matiz compact cars (down by 1.4 percent), 1, 098 Epica (down by 46.7 percent), 1,100 Captica (down by 41.9 percent) and 23,633 Damas minivans (down by 3.6 percent). The company produced 19,400 Lacetti cars in the reporting period (up 14 times).
In 2010, GM Uzbekistan plans to increase production by 20 percent to 220,000 vehicles.