Uzbekistan building tire plant
Tashkent, Uzbekistan, Aug. 29
By Demir Azizov- Trend:
The Angren special industrial zone (Tashkent region of Uzbekistan) hosted a ceremony of the launch of construction of the plant for the production of conveyor belts, agricultural and car tires, said the message of the administration of the Angren special industrial zone.
The design capacity of the plant with a total cost of $230 million will stand at three million pieces of tires, 200,000 pieces of agricultural equipment tires and 100,000 linear meters of conveyor belts, according to the message.
The construction of the plant will involve Uzhimprom JSC and Uzavtoprom JSC, as well as two of the largest Uzbek mining and metallurgical complexes, Navoi and Almalyk, which are the founders of the Directorate for Construction of the Mechanical Rubber Goods OJSC.
The participation share of Uzhimprom in the project will amount to 50 percent, Uzavtoprom - 30 percent, and the Navoi and Almalyk mining and metallurgical complexes - 10 percent each.
In November 2014, Uzhimprom concluded a contract with China's Poly Technologies Inc. to build a tire plant in Uzbekistan. The decree said that the contract is worth $183.96 million.
The contract, signed following direct negotiations, stipulates turnkey construction of the facility's technological part by the Poly Technologies Inc. Uzavtoprom and the US-based corporation, General Motors, agreed on kitting up cars, produced at the GM Uzbekistan, with tires locally made "in case of successful certification and laboratory testing of the mentioned products in line with international standards and requirements of GM Uzbekistan".
The project will be financed with a $27.6 million loan from the Fund for Reconstruction and Development of Uzbekistan (FRDU), $156.36 million foreign loans refinanced by the State Joint-Stock Commercial Bank Asaka, and through the funds of the founders of the construction operator - the Directorate for Construction of the Mechanical Rubber Goods Plant of the State Joint-Stock Company Uzhimprom.
Uzbekistan doesn't manufacture tires, and fully imports them particularly from Russia and China.