Who Is to Supply High-Tech Equipment to Astana Motors’ New
A full-cycle multi-brand plant to make cars of Chinese auto giants Chery, Haval, and Changan is being constructed in the Almaty Industrial Zone.
Automotive Engineering Corporation (China), the global leader of high-tech equipment supplies, has become a partner of Kazakhstan’s Astana Motors for the construction of a multi-brand car plant in Almaty.
The top management of Astana Motors, which incorporates the new plant, arrived in the Chinese city of Tianjin to have a look at production capacities of the corporation and discuss the development of the Kazakh plant project.
During the visit Astana Motors and Automotive Engineering Corporation signed a memorandum of cooperation.
Astana Motors CEO Beknur Nessipbayev and Automotive Engineering Corporation Board Chairman Dai Ming affixed their signatures to the document.
The Chinese corporation has been on the market for over 60 years and implemented over 30,000 production projects all over the world during this time. 80% of car plants are designed with the involvement of Рђutomotive Engineering Corporation that has 4.5 thousand of qualified engineers on staff.
“We are glad to inform that we have chosen the company that participates in the design of production sites, process lines and will supply equipment for the manufacturing of cars at Astana Motors’ new plant in Almaty. Рђutomotive Engineering Corporation is a reputable and reliable partner that works with all global car making leaders, including BMW, Mercedes-Benz, Volkswagen, Hyundai, Toyota, Jaguar, Land Rover, BYD, and many other brands. The corporation designed and supplied equipment for dozens of plants and design offices (R&D) of Chinese brands Chery, Changan, and Great Wall Motor’s Haval brand,” Beknur Nessipbayev said.
The Kazakh company plans to purchase and install hi-tech welding, painting, and other equipment for car making. Automotive Engineering Corporation’s delegation, including highly qualified engineers and car making specialists, will come to Almaty as early as April. They will take part in the design of production facilities.
As the Chinese side notes, the agreement of cooperation between the companies is the evidence of the friendly relationship between China and Kazakhstan and meets the strategic focus of the One Belt One Way initiative. It is also a new step in the development of the auto industry of Kazakhstan and the region on the whole.
It should be noted that Kazakhstan President Kassym-Jomart Tokayev started the plant construction in November 2022. Currently, foundation works are underway.
The multi-brand plant’s capacity is 90 thousand cars a year. All the cars will be made by CKD assembly only, including body welding and painting.
Astana Motors plans to supply 40% of the cars to the domestic market, while 60% will be imported to CIS countries. The new plant will output nine Chery, Haval, and Changan models.
The multi-brand plant will provide three thousand jobs. The core staff are engineering specialists who will learn from leading auto groups and develop technologies in Kazakhstan.
Astana Motors is investing 115 billion tenge in production engineering according to the standards of China’s car making leaders, with 20% of them being own funds and 80% being commercial borrowings.
The Global Goal of the Company is to build a technology park in the Industrial Zone of Almaty, create a cluster for small and medium businesses that will produce components and supply them to the plant lines.
The scheduled date of multi-brand plant completion is Q4 2024. Pilot production is scheduled for Q1 2025.
The enterprise is 100% owned by Astana Motors and will make cars under license agreements.
Source: Forbes.kz