Chinese automaker Li Auto plans to begin vehicle production in Kazakhstan in November, making the Central Asian country the company’s first manufacturing location outside China. Production will be organized at the Allur automobile plant in Kostanay, Kazakhstan. The initial lineup will include the Li L6, Li L7 and Li L9 models, with annual production capacity expected to reach 10,000 vehicles.
The agreement between Li Auto and Allur extends beyond vehicle assembly. The companies plan to gradually increase production localization, develop local automotive component manufacturing and involve Kazakh suppliers in the production process. These measures could support the development of Kazakhstan’s automotive industry, create new supply chains and expand domestic manufacturing capabilities.
Allur currently has the capacity to produce up to 125,000 vehicles annually. Its facilities carry out key manufacturing operations, including welding, painting and assembly. The planned initial output of 10,000 Li Auto vehicles would account for approximately 8% of the plant’s total annual production capacity.
The industrial cooperation agreement between the two companies was signed in Shanghai on July 16 during a Kazakhstan–China roundtable attended by Kazakh President Kassym-Jomart Tokayev. The project represents a potential expansion of international cooperation in Kazakhstan’s automotive sector. By establishing a manufacturing base in the country, Li Auto could help strengthen Kazakhstan’s role in regional automotive supply chains.
The initiative could also create opportunities for local component manufacturers by generating additional demand and encouraging investment in related industries. If production volumes increase over time, Kazakhstan could potentially develop opportunities to supply vehicles to neighbouring markets. owever, the companies have yet to disclose specific targets for exports, the share of locally produced components or further expansion of manufacturing capacity. The project’s long-term economic impact will depend on actual production volumes, the pace of localization and regional demand for Li Auto vehicles.
Here we are to serve you with news right now. It does not cost much, but worth your attention. Choose to support open, independent, quality journalism and subscribe on a monthly basis.
Extract — continue reading at the source.