Union of enterprises of the automotive industry of Kazakhstan "KazAvtoProm" informed about the results of the work of the domestic auto industry in the first half of 2016

The contribution of the automotive industry of the Republic of Kazakhstan to GDP within six months (36.6 billion KZT) exceeded the performance of light, pharmaceutical, wood, textile, furniture and other industries.

In June 2016 the production of passenger cars in Kazakhstan increased by 37% (to the end of June 2015).

At the end of 6 months of 2016 truck production grew by 16.6% in Kazakhstan.

The share of the local passenger car assembly rose from 17.3% to 22.5%.

TOP-5 brands of passenger cars of local assembly: Kia, Lada, Hyundai, Skoda and Peugeot.

Three models - sales leaders: Lada 4x4, Skoda Rapid and KIA Sportage.

The activity of enterprises of Kazakhstan's car industry in the second quarter of this year was marked by the recovery of industry indicators. At the end of 6 months of 2016 were produced 3772 units of vehicles worth a total of 36.6 billion tenge in the country (including freight vehicles and buses). In January 2016 the volume of manufacture of motor vehicles in the country did not exceed 404 units, by the end of June it reached 1136 units.

Issue in the segment of passenger cars by the results of June 2016 increased by 37% compared to the same period last year and amounted to 933 units. The output of commercial vehicles in the first half of the year also showed an increase of 16.6% over the same indicator of 2015, reaching 718 units.

As it is known, the domestic automotive industry has been among the sectors that received the most extensive damage from the instability of the currency market and the deteriorating macro-economic background in the period from 2014 to 2015. However, even in a multi-month decline the contribution of the automotive industry to the GDP within 6 months (36.6 billion KZT) significantly exceeded the results of the light industry (34.7 billion KZT), paper industry (20.3 billion KZT), the manufacture of pharmaceutical products ( 18.7 billion KZT), textile industry (18.3 billion KZT), electronics manufacturing (17.2 billion KZT) and three times higher than the furniture (12.2 billion KZT) and wood (10.6 billion KZT) industries.

The main factor in reducing the production figures in 2015-2016 was a sharp decline in activity in the new car market. Thus, according to the results of 6 months from the beginning of the year the official dealers sold 20.8 thousand. cars against 52 thousand units in the same period of 2015 (a 60% drop).

Nevertheless, given the acceleration of the market downturn, domestic automakers managed to strengthen their position. The share of cars of local assembly as a result of six months was 22.5% versus 17.3% in the same period of 2015. Domestic car factories sold 4733 units of vehicles in the reporting period.

Five bestseller in the segment of passenger cars of the local assembly in January-June 2016 amounted to 895 units - Kia brand, 812 units - Lada, 656 units - Hyundai, 515 – Skoda, 304 - Peugeot. Kazakhstani buyers also expressed a preference for these brands of domestic assembly as: Jac (291 units), Geely (288 units), Chevrolet (239 units), Toyota (206 units.), SsangYong (84 pcs.) And Iveco (66 units).

Leadership in the ranking of the most popular models of Kazakhstani production keeps Lada 4x4 (812 units) with a significant margin. The three leaders also include Skoda Rapid (390 units), Kia Sportage (363 units). Among the other models, which were in demand with consumers, are also Hyundai Elantra (326 units), Peugeot 301 (233 units), Toyota Fortuner (206 units), Jac S3 (198 units), Chevrolet Aveo (163 units), Hyundai i30 (146 units) and Kia Rio HB (137 units).

Further restoration of indicators of Kazakhstan's auto industry in the second half of 2016 will contribute to the expansion of the segment of budget model range, carried out by domestic companies. Since 22^nd of June, Lada Granta, Lada Kalina and Lada 2131 joined the lineup of Ust-Kamenogorsk car assembly plant "ASIA AUTO". In the second half of this year will be launched production of four models at the plant.

Reference: ULE "Union of the automotive industry of Kazakhstan "KazAvtoProm" – is an industry alliance that brings together the biggest players in the automotive industry of Kazakhstan. It was established in 2015. The share of enterprises participating in the Union accounts for over 60% of the output of Kazakhstani automobile industry, 45% of Kazakhstan's new car market and more than 40% of people are employed in the automotive industry of the republic.

The Union is a member of the National Chamber of Entrepreneurs of Kazakhstan "Atameken" and ULE "Union of Machine Builders of Kazakhstan", as well as the partner of NP "Association of Russian Automakers" (ARA).

On 1^st of July 2016 the Union "KazAvtoProm" received the status of a national association, representing the automotive industry of Kazakhstan in the International Organization of Automobile Manufacturers - OICA (founded in 1919, headquarters in Paris). OICA unites national associations of 39 largest automakers, it is the only industry association, accredited in the UN, and is directly involved in the development of safety standards of vehicles for Economic Commission for Europe (UNECE).