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Tender for construction of tire factory declared invalid in Uzbekistan

Business Materials 12 August 2014 16:29 (UTC +04:00)
The tender for the construction of a tire plant in Angren (Tashkent region of Uzbekistan) starting price of $190 million, announced in December 2013 has been declared invalid, the Uzhimprom SJSC told Trend.

Tashkent, Uzbekistan, Aug.12
By Demir Azizov- Trend:

The tender for the construction of a tire plant in Angren (Tashkent region of Uzbekistan) starting price of $190 million, announced in December 2013 has been declared invalid, the Uzhimprom SJSC told Trend.

Uzhimprom SJSC had announced tender for the construction of the "turnkey" production three million automobile tires, 200,000 tires for the agriculture machinery and 100,000 linear meters of conveyor belt for cleaning equipment in a year on the base of the Rezinotekhnika JSC.

The funding of the construction worth in total $230 million would have been implemented at the expense of foreign loans, the loan of the Fund for Reconstruction and Development of Uzbekistan and Uzhimprom`s own funds.

The company refused to comment on the reasons why the tender was declared invalid.

Earlier it was reported that in September 2011, Uzhimprom signed a contract with the Chinese Citic Pacific Ltd. on the construction of the plant of general mechanical rubber goods in Uzbekistan worth $155 million. The plant was planned to be built on the base of the "Rezinotekhnika" JSC in Tashkent region. However, later on the Uzbek side refused the contract due to changes in the conditions of the project and its technical parameters.

Before the collapse of the USSR, Rezinotekhnika JSC was the largest manufacturer of general mechanical rubber goods in Uzbekistan. The design capacity of the enterprise was 120,000 pieces of tires for passenger cars and trailers, 600,000 square meters of rubberized fabric and thousand tonnes of commercial rubber per year.

Tires are not produced in full volume in Uzbekistan, and are imported from the CIS countries, in particular from Russia and China. A sharp decline in the supply of raw materials shipped from Russia, caused the facilities to work at less than 10 percent capacity.

Edited by CN

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