Economic prerequisites for establishment of the joint venture on manufacturing of spare parts for cars produced in Uzbekistan.

AuthorKadirova, Oydin S.
PositionReport
  1. INTRODUCTION

    The mechanical engineering in modern industrially and technologically developed countries is considered as leading industry not only for manufacturing sector, but also for the economy as a whole. Significant intersectoral impact of mechanical engineering and its importance for other industries consist in concentration of latest scientific and technological achievements that are valuable for other sectors of national economy. As a result, by initiative of the Government of Republic of Uzbekistan, the automobile production industry was founded in the middle of 90th years of last century and nowadays significant attention is paid to its development. Thanks to far-sighted domestic automobile industry strategy our motor industry is developing with positive rates even during time of world financial crisis. According to data ("Statistic review of Uzbekistan for 2010", 2010, www.gosstat.uz) from the State Statistic Committee of Republic of Uzbekistan, in Year 2009 (and in Year 2010) there were produced 205 thousands (217 thousands) passenger cars, 2039 (2100) buses & light trucks and automobile spare parts for a total amount of 177,3 (190,9) billion sum (national currency of Uzbekistan) that equals 121,0 (120,23) mln.USD.

  2. RESEARCH

    Since the establishment of the automobile industry and until FY2010 there were sold about 600 thousands of locally produced passenger cars. Fleet of motor vehicles includes about 1.6 millions cars, 62% of which are cars of more than 10 years old. For the last 6 years, the rate of sales increase of locally produced cars on the domestic market varies between 21% and 32% per year, except for Year 2007, when the rate of increase was only 0.9%. Local car market has great potential for its saturation especially by local assembled cars, because they are for mainstream segment of consumers that prefer small and medium size cars (1000-1800[cm.sup.3] engine volume). Moreover, average car density in the republic is equal to the 55 units per 1000 inhabitant that much less than in other countries (Romania--246, Russia--213, Malaysia--273, Czech Republic--399). Segment of market for foreign car brands also has growing positions and import of foreign cars into Uzbekistan has increased 13 times during last 5 years.

    Currently, local joint ventures produce following accessories and units: seats, bumpers, dash fascia, mufflers, fuel tanks, car glass, accumulator, paint and varnish materials. For the purpose of cars cost reduction, first of all, there was made localization (local production) of those units and components, which required most part of transportation expenses and more space during transportation. According to the Decree of the President of Republic of Uzbekistan N#741 -05/12/2007, it was planned establishment of 15 localization projects ("Assembly of legislation of the Republic of Uzbekistan ", 2007. N# 48-49, page 484) until Year 2010 for the production of the following units and devices: radiators...

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