"‘Tulpar Motors’ has officially launched in Kyrgyz...
On July 18, Kyrgyzstan officially opened its first domestic plant for the production of passenger cars, trucks, and buses, "Tulpar Motors."
The editorial team at Economist.kg presents the main information currently available about this plant.
Key Stages of the Project The project, implemented by the Kyrgyz company DT-Tekhnika LLC in cooperation with the Uzbek company UzAuto, was initiated on January 27, 2023, in accordance with an agreement between the Kyrgyz government and the government of Uzbekistan. Construction of the plant began in May of the same year, with a total area of 4.7 hectares. The total investment in the implementation of this project will be $50 million.
The stages of the project include:
Organizing large-scale vehicle assembly with a capacity of up to 10,000 units, creating 100 new jobs. Producing auto components for 20,000 vehicles 4-5 years after production begins, with the creation of 400 new jobs. Organizing small-scale assembly by the sixth year after large-scale assembly starts, with a total production volume of 30,000 vehicles and the creation of 1,000 new jobs. Starting from this stage and in the future, component suppliers for vehicle production will be Kyrgyzstan-based manufacturers, as well as other producers with the appropriate certification for their products.
Accessibility of Vehicles for the Population and Subsidized Loan Conditions To ensure the affordability of domestic vehicles for the population, favorable loan conditions are offered for car buyers. The state banks "Eldik Bank" and "Aiyl Bank" are providing the "Subsidized Auto Credit" project with an interest rate of 8% per year and a minimum down payment of 20% of the loan amount.
Moreover, the Kyrgyz government has taken a number of measures to provide benefits and preferences, including:
Simplified certification of vehicles. Customs and tax preferences. Exemption from registration fees for the initial registration of vehicles. Preferences in government procurement. Model Range and Production Plans As previously reported, the plant will specialize in producing passenger cars, trucks, and buses using General Motors technology. The plant will produce around 20 vehicle models.
In the initial phase, the plant plans to produce Chevrolet Tracker, Onix, and Cobalt cars, assembled using large-scale assembly technology. In addition to passenger cars, the plant will also produce commercial vehicles:
Trucks based on ISUZU NPR75L and ISUZU NMR77H chassis. ISUZU D-MAX pickups. SAZ LE60 city low-floor buses. SAZ HD50 intercity buses. By the end of the year, the plant expects to produce 950-960 vehicles.
Significance of the Project for the Republic The opening of the "Tulpar Motors" plant is an important step in the development of Kyrgyzstan's automotive industry. The realization of this project is an indicator of the country's automotive industry development. The high-tech, innovative production will meet all the requirements of the Eurasian Economic Union (EAEU), the World Trade Organization (WTO), and other international agreements.
The successful implementation of this project will contribute to solving key import substitution tasks, updating the vehicle fleet, and the subsequent development of the republic's export potential.
