Kazakh gov’t backs local auto industry
Kazakh Investment and Development Ministry will render all the necessary support in bringing the key global automotive component manufacturers to the country's market.
Deputy Minister for Investment and Development Albert Rau made
the remarks in Astana at a roundtable dedicated to the development
of the domestic automotive industry.
"The ministry will provide all the necessary support via the
KazNexInvest to invite the world's key automotive component
manufacturers to Kazakhstan's market," he said.
Rau noted that today the development of the automotive industry in
the country is due to that Kazakhstan has no production of
automotive components and test bases.
He added that the low localization level hinders the reaching of
Kazakh products to the export markets.
"Therefore, the carmakers need to pay special attention to the
development of their own base of components," the vice minister
said.
Rau said the state policy in this area will be mainly focused on
the support to the projects aimed at large-scale production,
increasing its localization level and creation of a technical
regulation infrastructure.
"Easy credits for construction of workshops and creation of
infrastructure, as well as reduced rate finance leases for purchase
of technological, logistic and ancillary equipments will be
provided for successful realization of the projects," the vice
minister said.
The official statistics show that Kazakhstan is rapidly developing
the automotive industry. To date, Kazakhstan's automotive industry
produces 22 percent of the motor vehicles sold in the country. In
this case the localization of production stands at about 30
percent.
"The localization level enhancement is an ambitious purpose, but it
is achievable. And the state support is a prerequisite for this,"
according to Andrei Lavrentiev, the President of the Kazakhstan
Automotive Business Association.
He said a separate state program clearly indicating the terms for
this industry is needed to invite investors to the development of
the automotive components base in Kazakhstan.
"The Kazakhstan Automotive Business Association will undertake the
responsibilities in development of recommendations for the
government for a further creation of a separate program regarding
the automotive components production," he said.
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