Results of Astana Motors in 2020
Kazakhstan’s car market demonstrated positive dynamics in 2020. A total of 93,369 vehicles (including commercial machinery) were sold in the country and the sales growth was 24.2% compared to 2019 (75,157 vehicles).
In 2020, Astana Motors sales grew by 24.4% and reached 26,826 new cars (compared to 21,558 in 2019).
Results and sale plans of Astana Motors in 2020–2021
The company’s market share in Kazakhstan was 25% in 2020.
At the end of 2020, Astana Motors became one of the largest taxpayers in car industry of Kazakhstan. The amount of taxes paid to the state budget (both republican and local) was 29.4 bln tenge. The gross sales of the company in 2020 were $850 mln (over 360 bln tenge).
Astana Motors provides employment for over 3,000 people and keeps creating new jobs.
“29 years of work in the car market brought Astana Motors unique experience, recognition and trust of our customers and partners. Together we overcame the challenges of 2020 caused by the COVID-19 pandemic, realized the company development plans and fulfilled the obligations to the state related to construction of the Hyundai Trans Kazakhstan light vehicle plant”, noted Nurlan Smagulov, head of Astana Group.
Brand No. 1
Hyundai became the leading brand in Kazakhstan’s car market in 2020. Hyundai sales in Kazakhstan in 2020 achieved 17,857 units. This is 20.2% growth compared to 2019 (14,853 units).
Hyundai sales in Uzbekistan in 2020 achieved 3,561 units. This is 1,359.4% growth compared to 2019 (244 units).
Top 10 models of Astana Motors portfolio in 2020
Trade-In
In 2020, Astana Motors sales under Trade-In program increased by 59% compared to the previous year (from 3,659 to 5,818 units).
Manufacture of commercial machinery
In 2020, Hyundai Trans Almaty, a subsidiary of Astana Motors, manufactured 809 units of commercial machinery. The production growth was 63% compared to the previous year (496 units). 838 units were sold in 2020, which is 58% growth compared to 2019 (529 units). The increase of sales is related to expansion of the model range.
Under an agreement with Hyundai Motor Company (South Korea), by the end of 2021 Hyundai Trans Almaty will launch completely knocked-down production line for of Hyundai Mighty ЕХ6, ЕХ8 and ЕХ9 light trucks with the capacity of 3.5 to 9 tons, including various modifications of utility machinery, vans, and rear bodies meeting all special requirements of cargo transportation.
Furthermore, in 2021, Hyundai Trans Almaty will expand its production of Golden Dragon buses.
Astana Motors will invest 4.13 bln tenge into commercial machinery production. The total area of the plant upon completion of construction and reconstruction will be 14 thous. square meters, including new shops in the area of 9.5 thous. square meters.
Currently, Hyundai Trans Almaty provides employment for 238 people. With expansion of the completely knocked-down production, 350 people will work at the plant, increasing the Kazakhstani content share and the volume of vehicle export to the CIS countries.
Light vehicle manufacture
On October 15, 2020, the Industrial Zone of Almaty saw the official launch of Astana Motors subsidiary, the Hyundai Trans Kazakhstan light vehicle plant, with shops for truck body welding and painting, plastic part painting, vehicle assembly and warehouse for components used for completely knocked-down vehicle production.
President of Kazakhstan Kassym-Jomart Tokayev visited the plant and highly appreciated the resources of Hyundai Trans Kazakhstan.
Head of Hyundai Motor Company Mr. Won Hee Lee pointed out that Hyundai Trans Kazakhstan would bring the highest quality and technologies of Hyundai to the Kazakhstan’s market.
“We are confident that this plant will become a manufacturing base not only for the Kazakhstan’s market, but for other CIS countries as well”, said the President of Hyundai Motor Company.
The total scope of investment into the project exceeds 28 bln tenge. 30% of them (over 8 bln tenge) is the own funds of Astana Motors, and 70% (20 bln tenge) are a loan from Development Bank of Kazakhstan JSC and Industrial Development Fund JSC.
The Hyundai Trans Kazakhstan plant has been built using modern technologies of the global motor industry and meets all environmental requirements. The supplied equipment was manufactured in South Korea for Hyundai Trans Kazakhstan. The equipment was installed at the plant by Hyundai Motor Company and Youngsan (South Korea) specialists.
The area of Hyundai Trans Kazakhstan plant is 34 thous. sq. meters on 25 hectares in the Industrial Zone of Almaty. The production capacity at the first stage is 30 thous. cars per year, at the second stage — up to 45 thous. cars per year.
50% of the total number of Astana Motors manufactured cars will be sold on the market of Kazakhstan and 50% will be exported to the CIS countries. Today, Astana Motors already exports Hyundai cars to Uzbekistan. In 2021, the company will start supplying Hyundai cars to the Republic of Belarus.
In the first year of operation, Hyundai Trans Kazakhstan plant produced 8,401 Hyundai cars.
Today, the plant provides employment for 370 people. At the full capacity, Hyundai Trans Kazakhstan will have jobs for about 700 people.
The project has been implemented with support from the Ministry of Industry and Infrastructure Development of the Republic of Kazakhstan, the Investment Committee of the Ministry of Foreign Affairs of the Republic of Kazakhstan, and the Almaty Akimat.
Projects realized in 2020
In the previous year, Astana Motors opened new dealer centers in Almaty, Karaganda and Tashkent. Thus, today the dealer network of Astana Motors includes 23 car centers in Kazakhstan and Uzbekistan.
In 2020, the construction of Hyundai Trans Kazakhstan plant for production of light vehicles was completed in the Industrial Zone of Almaty.
The new project is mycar.kz mobile app, one of the largest aggregators of personal and commercial ads for sale of cars in Kazakhstan, an ecosystem with a range of additional services put together in one application.
Furthermore, Astana Motors launched online sales of cars and its own 24/7 call center 7007.
Astana Motors results in 2020
2021 plans
The goal for 2021 is 24.2% sales growth which will be 33,315cars.
Astana Motors will present Genesis and Haval brands to Kazakhstan’s motorists and will continue developing its dealer network in Almaty, Nur-Sultan, Shymkent, Atyrau, Karaganda, Ust-Kamenogorsk, and a number of cities in Uzbekistan.
In April, MYCAR.KZ car dealership will open in Nur-Sultan to sell used cars in a new format. Construction of MYCAR.KZ car dealership in Almaty has been commenced in February.
A plastic part production shop is planned for construction in the Industrial Zone of Almaty.
Astana Motors Kazakh Motor Company is the first company of Kazakhstan operating in the field of car sales and servicing since 1992.
Today, Astana Motors represents 11 car brands in the market: It is the official distributor of light and commercial Hyundai vehicles in Kazakhstan, the official distributor of Golden Dragon in Kazakhstan, the official distributor of Subaru in Kazakhstan, the exclusive importer of BMW and MINI in Kazakhstan, the official dealer of Toyota in Nur-Sultan and Almaty, the official dealer of Lexus in Nur-Sultan, the official dealer of Jaguar Land Rover in Almaty, the official dealer of Volvo in Almaty, and the official dealer of MAZ in Kazakhstan.
The subsidiaries of Astana Motors are Hyundai Trans Almaty commercial machinery plant and Hyundai Trans Kazakhstan light vehicle production plant.