Uzavtoprom, MAN set up joint venture to produce automotive equipment
TASHKENT. Aug 18 (Interfax) - Uzbekistan's Uzavtoprom and Germany's MAN Nutzfahrzeuge AG have set up a joint venture called MAN Auto-Uzbekistan that will produce automotive equipment, a source in the government told Interfax.
The joint venture has charter capital of 3 million euros. Uzavtoprom holds a 51% stake in the joint venture, while MAN holds 49%.
The company will assemble city buses in addition to automotive equipment for the Uzbek fuel and energy complex and metals industry, including dump trucks, tractors, truck cranes and platforms for drilling installations. The source said the joint venture would operate out of Samarkand, where SamAvto already has a plant that produces buses and trucks.
According to preliminary data, the joint venture will produce ten units of automotive equipment in 2009 and will be producing 100 units by 2012.
During the first stage, all the equipment will be produced using components delivered from Germany. Production will eventually be localized, the source said.
Uzavtoprom was set up in 2004. The company includes more than 20 plants, including eleven joint ventures that specialize in producing components for the auto industry.
Uzbekistan has two automotive plants - GM Uzbekistan (formerly UzDaewooAuto) in Asaka) and SamAvto, which produces buses and Isuzu trucks.