Russian Auto Giant Avtovaz To Hit Road With Kyrgyz Production In 2026

(MENAFN- Trend News Agency) BISHKEK, Kyrgyzstan, September 27. In a move aimed at reducing import dependency and diversifying its industrial base, Kyrgyzstan is set to begin domestic assembly of Lada vehicles in partnership with Russia's AvtoVAZ, Trend reports.

The project, announced by the investment fund Central Asia Capital, will be based at a new national automobile plant, "Muras," scheduled to launch in 2026, Trend reports.

The ten-year, $30 million localization project outlines a phased approach to increasing production capacity and complexity:

Phase 1 (2026–2030): Large-knock-down (LKD) assembly, with an annual production target of up to 1,500 vehicles.

Phase 2 (until 2035): Transition to medium-knock-down (MKD) assembly, ramping up output to 5,000 cars per year.

Phase 3 (post-2035): Establishment of a full-scale production cycle with an annual capacity exceeding 7,000 vehicles.

Cars produced under the Muras brand will include popular Lada models such as the Granta, Vesta, Largus, Niva, and the upcoming Iskra. The plant will also assemble commercial vehicles and specialized models for the medical and social service sectors, with a starting price point of $10,400.

The initiative has secured governmental support from both Russia and Kyrgyzstan, which will include preferential leasing and loan programs for locally assembled cars. According to Central Asia Capital, the project will also involve the development of a nationwide network of dealerships, service stations, and after-sales infrastructure within Kyrgyzstan.

Looking ahead, the partners plan to begin exporting up to 3,000 vehicles annually by 2031, targeting markets in Central Asia and the Balkans.

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