Kazakhstan and Chinese Investors Launch “Green” Copper Metallurgy Project in Aktobe

Kazakhstan has begun construction of a copper scrap recycling and copper rod production plant in Aktobe with the participation of Chinese investors, as the country seeks to develop higher-value metals processing and expand lower-carbon industrial production. The $100 million project is being implemented in the Aktobe Special Economic Zone (SEZ) with support from KAZAKH INVEST and the Aktobe Region administration. It involves China’s Beijing Jinyi Yuanfang Holding Group and Kazakhstan’s Phoenix Industrial Group. The new facility will process copper scrap collected across Kazakhstan and produce up to 25,000 tons of refined copper annually. Authorities hope the project will help turn Aktobe into a regional center for the copper industry and expand exports to markets in the Eurasian Economic Union and the European Union. The plant is scheduled to begin operations in 2027 and is expected to create about 250 jobs. “This project is a concrete result of negotiations conducted during our working visit to the People’s Republic of China,” Deputy Akim of the Aktobe Region Abzal Abdikarimov said. According to Abdikarimov, the plant will be the first major industrial enterprise launched within the Aktobe SEZ and is expected to become a new driver of regional economic growth. The use of copper scrap as raw material is being presented as part of a “green metallurgy” strategy aimed at reducing the sector’s carbon footprint and increasing the localization of industrial production. The project also points to China’s growing role in Kazakhstan’s industrial development and Beijing’s efforts to expand its economic influence across Central Asia. KAZAKH INVEST Chairman Sultangali Kinzhakulov said cumulative Chinese investment in Kazakhstan has already reached $25 billion. He added that around 250 joint projects involving Chinese participation are currently at various stages of implementation, while approximately 60% of all Chinese investment in Central Asia is concentrated in Kazakhstan. “Over the next three to five years, total Chinese investment is expected to reach $100 billion,” Kinzhakulov said. Locating the enterprise within a SEZ provides investors with tax and customs incentives, as well as access to the transport infrastructure of western Kazakhstan. The project is being launched as Kazakhstan modernizes its metallurgical sector. As previously reported by The Times of Central Asia, Kazakhstan plans to invest approximately $174 million in non-ferrous metallurgy projects in 2026.