China invests in automobile production in north Kazakhstan

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ASTANA (TCA) — China Machinery Company has so far invested $5 million in the production of JAC cars in the industrial zone in Kazakhstan’s northern Kostanai province, the province’s Governor Arkhimed Mukhambetov said at a briefing in Astana on February 16, the official website of the Prime Minister of Kazakhstan reported.

Total investments are expected to reach $40 million, the governor said.  

In his words, last August Kazakhstan’s SaryarkaAvtoProm, China Machinery Company and China’s JAC Motors signed an agreement on strategic partnership and development of Kazakhstan’s national car brand.

Supply and installation of technological equipment is scheduled for June-July 2016.

“Late in February a delegation of CMC is expected to visit Kostanai to discuss the project’s details and decide on the beginning of construction of the industrial zone and the signing of a tripartite document to launch this project between CMC, the province administration, and SaryarkaAutoProm,” the governor said.

It is also planned to sign an export contract between SaryarkaAutoProm and IVECO Russia for the supply of pilot Daily brand cars to Russia.

In other news, the Chairman of Kazakhstan’s National Agency for Export and Investment KAZNEX INVEST, Borisbiy Zhangurazov, told journalists on February 16 that about 19 thousand jobs will be created in Kazakhstan within the program of industrial and investment cooperation between Kazakhstan and China.

In his words, the program includes 52 projects worth $24 billion in such sectors as agriculture, chemical industry, and mechanical engineering.

Sergey Kwan

TCA