Kazakhstan, South Korea Teaming Up To Mint Auto Parts Production For Kia Mill In Kostanay

(MENAFN- Trend News Agency) ASTANA, Kazakhstan, September 10. Deputy Chairman of the Board of Kazakh Invest, Madiyar Sultanbek, and Deputy Director of the Projects Department, Alzhan Yestemesov, held a meeting with the General Director of the joint venture with South Korea, Seoyon E-Hwa Kazakhstan, In Je Cho, Trend reports.

The parties discussed a project to localize the production of auto components in the Kostanay region, Kazakhstan, the products of which will be supplied to the Kia Kazakhstan plant currently under construction. The total investment volume in the project adds up to $27 million, with production set to kick off in 2027.

At the Kostanay enterprise, the plan is to produce door panels, seats, bumpers, consoles, ceiling covers, and other interior and exterior car parts.

Sultanbek noted that localizing auto component production in the Kostanay region will be an important step in developing Kazakhstan's automotive cluster. According to him, the implementation of the project will create new jobs, expand cooperative supply chains, and increase the level of localization in the automotive industry.

“The establishment of the Kia manufacturing facility in Kostanay is generating a significant multiplier effect, as ancillary Korean enterprises-providers of automotive components-are penetrating the Kazakh market. This initiative will facilitate the establishment of a comprehensive automotive ecosystem, generating employment opportunities and enhancing the localization quotient,” Sultanbek emphasized.

In Je Cho noted that the company sees great potential not only in supplying auto components for the Kia plant in Kostanay but also in supplying products to other factories in Kazakhstan. According to him, the project's implementation will create a strong manufacturing base that will serve as a platform for exporting products to countries in the region.

Seoyon E-Hwa is a global auto parts manufacturer with a network of plants in South Korea, the US, China, India, Mexico, Brazil, Slovakia, Poland, and other countries. The company is a key partner of Hyundai Motor and Kia, supplying a wide range of interior and exterior parts for leading global automakers.

MENAFN10092025000187011040ID1110042489