Tatneft invests in Kazakhstan tyre factory joint venture
PJSC Tatneft and JSC Allur Group of Companies are establishing a joint tyre manufacturing facility in Kazakhstan. The factory will produce passenger car, light truck and truck tyres. The planned production capacity is 3 million passenger and light truck tyres as well as 0.5 million truck tyres per year. Production is expected to start in 2022. The project will create about 800 jobs, according to Tatneft.
On 28 July, Nail Maganov, general director of Tatneft, and Andrey Lavrentiev, chairman of the board of directors of the Allur Group of Companies, signed an “agreement of intent” and the “roadmap for the implementation” of the tyre factory construction project, which will be located in the Republic of Kazakhstan. Tatneft and Allur Group of Companies will establish a joint venture to implement the project. The signing was attended by Alexey Pesoshin, Prime Minister of Tatarstan, and Roman Sklyar, Deputy Prime Minister of Kazakhstan.
Car tyres produced in the new factory will be fitted as original equipment to cars produced in Kazakhstan. Tyres will also be sold on the domestic replacement as well as being exported to “neighbouring countries”.
Nail Maganov, General Director of PJSC Tatneft commented: “The establishment of a new production facility will be another step for Tatneft in strengthening the tyre manufacturing complex. We are proud that our competencies in the field of tyre production are in demand not only in Russia, but also abroad, and we will be glad to contribute to the development of the automotive industry in Kazakhstan”.
According to Andrey Lavrentiev, chairman of the board of directors of the Allur Group of Companies, “For several years, the Kazakhstan auto industry has been leading in terms of growth in the industry and has occupied one of the most important areas in the machine building of the Republic of Kazakhstan. The development prospects and the possibility of the entrance to the market of the EAEU and neighbouring countries continue attracting new technologies and investments to the country. The establishment of our own auto component base, in particular, the production of tyres is one of the most important stages in the development of the industry, which will allow the possibility of taking a serious step in increasing the products’ localization of the Kazakhstani factories”.
PJSC Tatneft is one of the largest Russian public companies with a market capitalization of over US$28 billion at the end of 2019.
JSC Group of Companies Allur is a shareholder of the largest car manufacturer in Kazakhstan LLP SaryarkaAvtoProm, an official distributor, manufacturer and dealer of the brands JAC, Ankai, Yutong, Chevrolet, Ravon, manufacturer of Hyundai, Niva Chevrolet, UAZ and MAN in Kazakhstan.