Uzavtosanoat Joint Stock Company (Uzavtoprom JSC) and the Italian Landi Renzo S.p.A. established the Avtosanoat-Landi Renzo joint venture on the production of natural gas fuel systems for cars. The new partnership will work in the territory of the Navoi Free Industrial Economic Zone (FIEZ), an area with special conditions for foreign investments established in Navoi Province, Uzbekistan.
The joint venture will offer a capacity to manufacture up to 25,000 units per year. It is assumed that at the first stage of the project, engine and fuel system equipment to convert vehicles to natural gas technology will be assembled with components supplied from Italy. Later, the localization of production will be considered.
At the first phase of its implementation, the initiative will involve an investment of nearly US$2 million. Moreover, within the project it is planned to gradually increase share of local raw material in production, as well as generate new jobs. real6
Uzbekistan has adopted a program to switch transportation to natural gas. At present, over 300,000 or about 10 percent of vehicles run on CNG. It is planned to convert about 30 percent of the total vehicle fleet by 2016.
Source: FIEZ
