Great Wall Motors (GWM) has signed a memorandum of intent for knock-down (KD) assembly cooperation with Astana Motors, Kazakhstan’s leading car distributor. This marks an important milestone in GWM’s globalization journey by further enhancing its local competitiveness.
KD means that a product is delivered in parts from suppliers worldwide and assembled in the importing country.
Furthermore, Astana Motors also signed a memorandum with Chery and Changan to produce Chinese brand cars in Kazakhstan. In 2023, Astana plans to start construction of a manufacturing plant in the Almaty Industrial Zone with the plan to start vehicle production in 2025. The plant will be 100% owned by Astana with an annual production capacity of 90,000 vehicles, of which 60% is planned to be exported to nearby Commonwealth of Independent States countries (Azerbaijan, Armenia, Belarus, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Uzbekistan, and Ukraine), according to DKNews International News Agency in Kazakhstan.
Located mainly in Central Asia and partly in Eastern Europe, Kazakhstan is an important land corridor between Europe and Asia. As such, Kazakhstan would be a strategic market for GWM to develop its Eurasian market with Kazakhstan’s annual vehicle sales volume of more than 100,000 units.
GWM’s history with Kazakhstan goes back to April 2021 when the Haval brand officially landed in Kazakhstan. Then, Haval Big Dog was launched in Kazakhstan in September of this year followed by Haval H6 in the fourth quarter of this year.
In the past two years, thanks to the launch of the third-generation Haval H6, Haval Jolion, Great Wall Pao, and Haval Big Dog, GWM’s sales in overseas markets have grown significantly, enabling it to achieve its 1 millionth oversea sales. Last year in the Southeast Asian market, GWM launched three new energy vehicle models: Haval H6 HEV, ORA Cat, and Haval Jolion HEV. In June this year, GWM launched the Haval H6 GT in the Iraqi market. Then on July 3rd this year, the Tank brand under Great Wall Motors made its overseas debut in Riyadh, the capital of Saudi Arabia.
Very informative, with great map,….,that’s a huge land mass to have a foothold in. And, Almaty location is just over the border.
“KD” to be read: Semi Knocked Down, or Completely Knocked Down?