Azernews.Az

By Mirsaid Ibrahimzade

The automotive industry of Azerbaijan has been a sector of fast development during the last decade. The country’s automobile manufacturers are increasingly capturing local market and reduce import dependence.

Emin Akhundov, Chairman of the Board of Azermash OJSC, has told Trend that construction of a plant for the production of light trucks and minibuses in the Hajigabul Industrial Estate of Azerbaijan is expected to be completed by next summer.

He said that this plant will presumably be fully completed and ready for operation in June 2020.

Akhundov noted that full share of plant’s construction for the production of light trucks belongs to Azermash.

The plant is expected to produce 500 buses of both European and Asian countries at the initial stage. As many as 100 people will be employed at the enterprise, which will operate on 5 hectares of land. The cost of the project is 11 million manats ($6.47 million).

Touching upon the automotive sector in Azerbaijan, it is important to note that more and more plants engaged in the production of cars are being launched across the country.

In March 2018, another car plant was launched in the Neftchala Industrial Zone. The plant’s founders are Iran Khodro and Azerbaijan’s AzEuroCar (AzerMash subsidiary). There are plans to produce 3,000 cars at the plant in 2019.

In addition, another plant opened in Nakhchivan in 2010 assembles eight models of Lifan passenger cars designed by China’s Lifan Group, which provides all the necessary spare parts for cars to the plant, so they may be assembled in Azerbaijan under the direct supervision of Chinese automotive specialists.

As for statistics, approximately 1,000 cars were sold in 2018, while about 500 cars were sold in the first two months of 2019. If last year 40 percent accounted for purchases by government agencies and 60 percent - by the population, now this ratio has changed. This year, only 15 percent account for government agencies, while 85 percent account for the share of the population.

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Mirsaid Ibrahimzade is AzerNews’ staff journalist, follow him on Twitter: @MirsaidIbrahim1

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