Khazar plant’s production popular in Azerbaijan

15 March 2019 15:55 (UTC+04:00)

By Mirsaid Ibrahimzade

Over 1,500 Khazar cars of local production have already been sold in Azerbaijan, and the production of Peugeot 207 cars will be launched in the near future, Emin Akhundov, Chairman of the Board of the Azermash Open Joint-Stock Company (OJSC) Azermash, told Sputnik Azerbaijan.

Some manufacturers began to build car assemblies in Azerbaijan, and only then were engaged in finding a solution to the issue of selling finished products.

The approach of Azermash in organizing the production of various brands of vehicles is that the company has been importing cars for a long time and organized their sales in the local market. Accordingly, when the issue of car production became relevant, the company already knew which brands of vehicles would be in demand in the market and how the process of their implementation would proceed.

"We have already sold over 1,500 Khazar cars, and we will soon start producing Peugeot 207 cars,"  Akhundov said.

In the assembly of cars, the company uses local wiring, the production of which is also established in Azerbaijan.

Akhundov also expressed his confidence that small-tonnage Russian trucks, the assembly of which in Azerbaijan is scheduled for next year, will also be popular in Azerbaijan.

A joint venture between Khazar OJSC Azermash and Iran Khodro, commissioned in Neftchala industrial park on March 29, 2018, cost $ 15 million (75 percent is Azermash’s share and 25 percent is Iran Khodro’s share).

The plant has 300 employees and capable to manufacture up to 10,000 cars per year. At the same time, if necessary, it is possible switch to a three-shift operation, and without additional space, bring the assembly volumes to 30,000 cars a year.

Generally, cars, trailers and semi-trailers were produced in the country worth 106.6 million manats according to the results of 2018, which is 31 times higher compared to 2017, according to the State Statistics Committee of Azerbaijan.

As many as 969 cars were produced in 2018, which is 32.4 times more than in 2017.

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