ADM Jizzakh, an automobile plant in Uzbekistan, is set to embark on the production of hybrid cars and electric vehicles (EVs). Alisher Komilov, the Director for development and planning of the automobile plant, unveiled this strategic shift in an exclusive interview with O’zbekiston 24 TV channel.
The transition towards alternative energy sources marks the third stage of development for ADM Jizzakh. Komilov elaborated, stating,
"The third stage of development will be the creation of a complex for the production of cars using alternative energy sources, that is, we are going to fully master the production of hybrid cars and electric vehicles based on CKD."
This endeavor entails a comprehensive process involving the stamping of body panels, welding, painting, and vehicle assembly, resulting in a car completely localized in Uzbekistan, similar to the current Kia Sonet model.
This endeavor follows the completion of ADM Jizzakh's second stage of development, wherein $315 mn was invested, leading to a turnover exceeding $1.2 bn. Presently, the automobile plant boasts a workforce of over 4,500 employees.
Looking ahead, the third stage of development, spanning from 2025 to 2027, is poised to be a transformative period for ADM Jizzakh. An investment of $550 mn will fuel various projects, including the production of hybrid and premium cars, as well as commercial vehicles based on CKD. Furthermore, plans include the establishment of a research center, localization companies, the construction of a press shop, and the organization of production for lighting systems and car seat frames.
Projections indicate that ADM Jizzakh's turnover will quadruple by 2027, reaching $4.7 bn. Moreover, budget revenues are expected to soar to $700 mn, positioning the automobile plant among the top 5 largest taxpayers in Uzbekistan.
The area of the automobile plant is set to expand to 170 hectares, accommodating the doubling of its workforce to 10,000 employees. Additionally, with the development of production for 348 out of 972 types of components, the level of localization is anticipated to rise from 30% to 45%, further bolstering the plant's self-sufficiency and economic impact.
About ADM Jizzakh
President Shavkat Mirziyoyev visited the ADM Jizzakh automobile plant in the Jizzakh region of Uzbekistan on April 8, an area historically characterized by low industrial output. However, significant strides have been made in industrial development, particularly through the establishment of the Jizzakh free economic zone. This zone ranks third in the country for production volume and sixth for export volume, with 33 projects currently operational and providing employment for 7,670 individuals.
Among these projects, the Limited Liability Company "ADM Jizzakh" stands out as a notable success story. Established in 2021, the company has produced 36,000 cars across 23 different models under brands such as Kia, Chery, and Haval. With an investment of $234 mn and the creation of 1,800 jobs, the company has expanded its operations significantly over the past three years. The introduction of high-tech assembly processes, including stamping, welding, painting, and assembly, has allowed for the production of high-quality vehicles.
The plant boasts advanced equipment from South Korea, Japan, and Germany, including 30 robots, achieving a 33% automation rate. Plans are underway to increase localization and strengthen cooperation with domestic industrial enterprises, with a target of localizing 348 types of components by 2027. Already, partnerships have been formed with 21 local enterprises to support this initiative.
With a current production capacity of 100,000 passenger cars annually, ADM Jizzakh aims to expand its workforce to 3,000 employees. To enhance the quality of its vehicles, the company has enlisted skilled specialists from South Korea, India, China, and Vietnam. Additionally, a program for advanced training of engineers in South Korea and China has been initiated, with the first group of 50 engineers set to undergo training this year.
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