Car production to double in Kazakhstan

Business Materials 26 March 2019 13:02 (UTC +04:00)

Baku, Azerbaijan, March 26

By Fakhri Vakilov – Trend:

Kazakhstan will increase car production from 32,000 to 60,000 units per year, Trend reports with reference to the statement of the Minister of Industry and Infrastructure Development of Kazakhstan, Roman Sklyar, during a government meeting.

Minister noted that the construction of a Hyundai car assembly plant this year will help in the implementation of these plans. The main market for Kazakhstan-made cars will be the countries of the Eurasian Economic Union.

"We will start building a plant for the production of Hyundai cars, a joint venture will be established with KAMAZ, and cooperation with the Kirovets plant will be established to transfer technologies for the production of agricultural machinery components. In general, the engineering industry plans to increase the production of motor vehicles 32,000 to 60,000 units,” Roman Sklyar said.

The minister recalled that the second five-year plan of industrialization has been implemented since 2015, and the current year is the final one.

Kazakhstan's Prime Minister Askar Mamin stressed that engineering should be one of the drivers of industrialization. The potential of this sector is increasing due to the development of large oil and gas field projects - Tengiz, Kashagan and Karashaganak.

“It is necessary to pay attention to agricultural machinery. In general, the automotive industry needs to take all necessary measures in this direction,” head of the Cabinet stated.

Moreover, the government plans to ensure a growth in the manufacturing industry of no less than 104 percent this year. To this end, measures will be taken to increase production and preserve jobs in enterprises in the supervised industries. It is planned to introduce about 120 projects worth 1.1 trillion tenge ($ 2.9 billion) with the creation of 20,000 permanent jobs.

In the mining industry, metal ore production will be achieved by increasing iron ore production at Sokolovsko-Sarbayskoye mining and processing company by 5.5 percent and by 6.7 percent at Orken LLP, copper ore production by the KAZ Minerals companies by 8.5 percent and gold-bearing ore at the Bakyrchik mining enterprise by 60 percent.

Roman Sklyar underlined that over the four years of the state program implementation, 480 projects have been introduced for the amount of 4.9 trillion tenge ($12.9 billion) and more than 44,000 permanent jobs have been created.

($1- 378.06 tenge on March 26)

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