Four Chinese Auto Brands to Commence Localized Production in Almaty in 2025
Astana Motors Manufacturing Kazakhstan to Begin Operations in H1 2025
Astana Motors Manufacturing Kazakhstan, a subsidiary of Kazakhstan’s Astana Group, is set to commence production in the first half of 2025. The newly established plant will initially manufacture four Chinese automotive models: Chery Tiggo 2 Pro, Haval Jolion, Tank 300, and Changan CS55 Plus. The facility, located in Almaty, will focus on localized production for Chinese brands Chery, Changan, and Great Wall Motors (Haval and Tank sub-brands) .These brands have successively established KD factories in Kazakhstan, assembling and producing corresponding models locally through different degrees of KD forms such as SKD and CKD.
Production Capacity and Future Plans
• Annual output: The plant aims to produce 90,000 units annually, with an emphasis on multi-brand assembly.
• Future expansions: Astana Motors plans to introduce additional models from Chery, Changan, and GAC Trumpchi, pending agreements with brand owners. Model selection will prioritize market relevance, consumer demand, and regional competitiveness .
Strategic Context
1. Localized Production Benefits:
• Reduces reliance on imported vehicles.
• Shortens delivery timelines for popular models.
• Lowers retail prices amid rising domestic demand for new vehicles .
2. Kazakhstan’s Automotive Ambitions:
• A sister facility, Kia Kazakhstan (a joint venture between Astana Group and South Korea’s Kia Motors), will begin production in Kostanay in 2025, targeting an annual output of 70,000 units. This marks Kia’s first overseas production hub outside South Korea .
3. Market Dynamics:
• The plant will prioritize export-oriented production, with over 50% of output destined for markets in Central Asia and Eastern Europe .
• Astana Motors has already secured partnerships with Chinese brands like BYD, which launched its Han EV and Song PLUS EV in Kazakhstan in late 2024 .
Key Challenges and Opportunities
• Localization hurdles: Adapting to European safety and emission standards for exported models.
• Competitive landscape: Competing with entrenched Japanese and South Korean brands in emerging markets.
This initiative aligns with Kazakhstan’s broader strategy to leverage China’s automotive expertise while fostering industrial growth and reducing import dependency.