Baku, Azerbaijan, Jan. 31
By Nigar Guliyeva - Trend:
The largest holding in Kazakhstan's car market "BIPEK AUTO - AZIA AVTO" and the Russian AVTOVAZ are set to create an auto-industrial cluster of the full production cycle at a new site in the Ust-Kamenogorsk city.
The Kazakh holding invested in the new project $62 million, the holding reported.
A delegation of top managers of AVTOVAZ, a part of the Renault-Nissan-Mitsubishi alliance, headed by President Nicolas Maure, visited Astana this week.
During the visit, Maure presented to the government of Kazakhstan the development strategy on the production capacities of the joint venture with the BIPEK AUTO-ASIA AVTO holding company .
Presently, the partners are building the auto-industrial cluster of the full production cycle in Ust-Kamenogorsk, where the welding, painting and assembly capacities will be located.
AVTOVAZ holds a blocking stake in the joint venture (25 percent), while 75 percent of the shares of ASIA AVTO Kazakhstan JSC belong to the main investor - "BIPEK AUTO-ASIA AVTO".
The main sales market for products of the future production complex will be Kazakhstan, with possible export to Central Asia.
"As part of the largest automotive concern in the world, the Renault-Nissan-Mitsubishi Alliance, AVTOVAZ will bring a competitive line of cars, new management standards, a global production and quality control system to the Kazakh project. Today, AVTOVAZ is growing at a rate faster than the market dynamics. in 2017, we increased sales by 17 percent, and export markets, where our retail sales increased by 31 percent, the key one being the Kazakh market. Following the results of the fourth quarter, LADA regained the position of the most sold brand in the Kazakhstan market with a share of 21.4 percent," Moure said.
Following the results of 2017, AVTOVAZ confirmed its status as the most successful player in the Russian car market, selling 311,600 LADA cars, which is 17 percent higher than a year ago.
"BIPEK AUTO - AZIA AVTO" is the largest holding company in the automobile market of Kazakhstan, established in 1992. The group includes the Kazakhstan car assembly plant JSC "AZIA AVTO", distribution and dealership companies selling and servicing Lada, Skoda, Chevrolet, KIA, UAZ and Renault cars on the Kazakhstan market. The group also owns a service and distribution network in Russia, which has 20 auto centers in 15 cities.