Uzbekistan Teams Up With South Korean Partner To Kick Off Joint Venture In Auto Components

(MENAFN- Trend News Agency) TASHKENT, Uzbekistan, September 2. Uzbekistan's Uzavtosanoat, in partnership with South Korea's IOTA, has completed and launched a new automotive components plant in the Chirchik technopark, Tashkent region, Trend reports.

The state-of-the-art facility is packed to the rafters with cutting-edge South Korean production lines and testing systems. The daily capacity is a real powerhouse, cranking out up to 2,400 air conditioning system tubes and hoses, with an annual output that's worth its weight in gold at around 110 billion soums (approximately $8.8 million). The project will fully cover the needs of UzAuto Motors for air conditioning components, reducing import dependency, lowering logistics costs, and increasing localization in the country's automotive industry.

The plant has rolled out 120 new jobs, giving a real shot in the arm to the socio-economic landscape of Chirchik city.

The organization asserts that the initiation of this production not only amplifies engineering acumen but also fortifies Uzbekistan's comprehensive industrial capacity. In the forthcoming timeline, the organization intends to scale production capabilities to encompass analogous components for BYD and KIA automotive platforms.

The initiative originates from a contractual arrangement established in April 2024 between Uzavtosanoat and IOTA concerning the localization of automotive tube and hose manufacturing processes. The South Korean collaborator allocated a capital infusion of $6.1 million towards the inception of the operational facility.

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