The PSA Group (Paris: UG) and SC Uzavtosanoat decided to create a joint venture, held equally - Uzbekistan.PCA. The partnership aims to build a production plant in the Jizzakh industrial free zone, 200 km from Tashkent, Uzbekistan, to produce VUL1 Peugeot and Citroën, both in the form of private vehicles and freight transport. The capital of the new joint venture is approximately 30 million, also signed by the two partners. Total investments amounted to € 130 million.

PSA Group will bring new technologies, intellectual property; will participate in the establishment of modern production processes and employee training. The plant will apply the Group's modern production, quality, and purchasing, supply and sales systems. The joint venture also foresees that at least 50% of the parts will be produced locally in the first year of production, attracting local manufacturers - 30 large plants owned by SC Uzavtosanoat and more than 160 small and medium-sized enterprises.
Production capacity is expected to reach up to 16,000 vehicles per year and vehicles will be marketed in Uzbekistan or exported.

With a population of more than 32 million, Uzbekistan has enormous development potential in industrial production and growth in the automotive market.
"This segment of the VULs is the only car segment not represented in Uzbekistan" - said Yusupov Rustam, Vice Chairman of SC Uzavtosanoat - "This project represents a significant qualitative advance in the development of the national automotive sector. And more generally, with job growth, this joint venture will have a positive impact on the profitable growth of Uzbek automobile industry. "

Christophe Bergerand, Vice Chairman of the PSA Group Eurasia said: "This project is totally in the context of our plan" Push to pass "and this is an excellent opportunity for the PSA Group, to develop our business and our profitable growth plan in the region. We appreciate the constructive dialogue we have established with the Uzbek teams, and the personal support of Uzbek President Shavkat Mirziyoev, who was instrumental in creating the joint venture. "

About SC Uzavtosanoat

SC Uzavtosanoat was established on March 17, 1994. The company currently joins 75 large and medium-sized entreprises and companies, including foreign capital and technology companies from South Korea, Turkey, Italy, Germany, the Netherlands and the United States.The main activity of the newly created joint venture is the production of passenger cars, buses, trucks and spare parts.The total number of employees is over 24,000, with more than 5,000 employees trained in the largest industrial companies in the world.

About PSA Group

In 2016, the PSA Group achieved a turnover of 54 billion Euros. It designs unique car experiences and brings mobility solutions, offering everyone freedom and enjoyment around the world. With models of its three brands Peugeot, Citroën and DS, but also with a wide range of connected services and mobility with Free2Move brand, the PSA Group is a car manufacturer responding to new uses. It is the European leader in terms of CO2 emissions, with an average of 102.4 grams of CO2 / km in 2016, and one of the pioneers of the autonomous car and the vehicle connected with 2.3 million vehicles in the world. Its activities also extend to automotive financing with Banque PSA Finance and automotive equipment with Faurecia.

Original Source: zonebourse.com

Ily Es

 Translator