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U.S. Secretary of State visited the engine plant in Tashkent

Business Materials 24 October 2011 03:54 (UTC +04:00)
U.S. Secretary of State Hillary Clinton visited the new engine plant in Tashkent built by the American General Motors (GM) and JSC "Uzavtoprom" on Sunday.
U.S. Secretary of State visited the engine plant in Tashkent

Uzbekistan, Tashkent, 23 Oct. / Trend D. Azizov/

U.S. Secretary of State Hillary Clinton visited the new engine plant in Tashkent built by the American General Motors (GM) and JSC "Uzavtoprom" on Sunday.

"The company is a reflection of the cooperation between the Uzbek and American companies, as well as a symbol of our cooperation and work together as a whole," said Clinton at a press briefing after the inspection of the plant.

She stressed that the plant with the latest technology is a joint venture from beginning to end.

According to her, with the commissioning of the plant, which will be held in November, the company will be created over a thousand jobs.

"In addition, the use of U.S. equipment and technology, as well as receipts from the production of more than 250 thousand engines will also create jobs for U.S. citizens," Clinton said.

As previously reported, in late 2008, GM and AC "Uzavtoprom" created a joint venture company "GM Powertrain Uzbekistan" with a capital of $ 100 million for engine plant construction. GM share in the authorized capital of joint venture is 52 per cent share of the Uzbek side - 48 per cent.

Construction of the plant began in 2009.

Production capacity of the project cost 521.8 million dollars designed to produce 225 - 270 000 automotive powertrains annually.

Plant will produce engines of 1, 1.2, 1.4 and 1.5 liters.

The main consumer of GM Powertrain Uzbekistan will be the JV GM Uzbekistan (formerly JSC "UzDaewooAuto", of Asaka, Andijan region). Part of the engines produced will be exported.

The project is financed by equity joint venture in the amount of 298 million dollars, the credit of the Fund for Reconstruction and Development of Uzbekistan - 14.9 million, loans of commercial banks of Uzbekistan to the total amount of 156.9 million dollars of foreign investments and credits - $ 52 million.

In 2012, the joint venture plans to produce 125,000 automobile engines, in 2013 - 142 000 in 2014 - 205 thousand in 2015 - to go at full capacity.

GM Powertrain Uzbekistan - the second joint venture between an American corporation and Uzbek automobile industry. Since 2007, Uzbekistan has a joint venture to manufacture automobiles "GM Uzbekistan", created on the basis of automobile "UzDAEWOOauto." GM owns 25 percent stake in the authorized capital of joint venture, the Uzbek side - 75 per cent. The design capacity of SP - 250 thousand cars per year.

In 2010, GM Uzbekistan increased production by 6.2 percent compared with 2009 - up to 217.733 thousand cars.

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