Kazakhstan takes the lead in industrial production in Central Asia

Last year, Kazakhstan became the leader in terms of industrial output in Central Asia, as reported by the country’s Ministry of Industry.

At the time, industrial production in Kazakhstan reached $106.8 billion, which is 1.5 times more than in Uzbekistan, 16 times more than in Kyrgyzstan and almost 22 times more than in Turkmenistan. In terms of processing volumes, Kazakhstan took second place among the Central Asian countries after Uzbekistan, with $52.2 billion. This value exceeds the volume of Kyrgyzstan by 10 times.

Russia remains the leader in industrial output in the CIS with $1.3 trillion, including $896.5 billion in the manufacturing industry. Next come Kazakhstan and Uzbekistan ($68.3 billion, including $58 billion in the processing industry), followed by:

• Belarus – $62.4 billion and $56 billion;
• Azerbaijan – $37.7 billion and $11.2 billion;
• Armenia – $7.6 billion and $5.5 billion;
• Moldova – $7.6 billion and $4.6 billion;
• Kyrgyzstan – $6.7 billion and $5.2 billion;
• Tajikistan – $4.9 billion, and
• Turkmenistan – $0.5 billion in the manufacturing sector.

In 2024, 180 projects worth $2.4 billion were launched in Kazakhstan, creating 14,400 permanent jobs. Among these projects are:

• KamLitKZ, a $149.4 million automotive component plant producing cast iron details for trucks in the Kostanay region. It has created 500 jobs and has a capacity of 45,000 tons of cast iron components per year;
• Industrial development of the Boguty tungsten ore deposit by Zhetysu Volframy in the Almaty region for $258 million (350 jobs, 3.3 million tons of ore mined and processed per year, and 10,000 tons of concentrate produced per year);
• A $215 million cathode copper production project by Kyzyl Aray Copper (780 jobs, 30,000 tons of cathode copper produced per year);
• A $21.4 million gold and silver alloy production project by Ulytau Gold (300 jobs, up to 1.78 tons of gold and 1.98 tons of silver);
• A $1.5 million shut-off valve production project by KZTA-Kazakhstan Pipeline Valves Plant (200 jobs, 45,000 valves per year);
• An $83.9 million TechnoNIKOL-Kazakhstan plant producing thermal insulation materials in the Almaty region (220 jobs, 1.4 million cubic meters of stone wool and 400,000 cubic meters of polymer insulation per year).

This year, the country is going to launch 190 projects worth $2.8 billion in total. They will create about 20,000 permanent jobs. For example, a new $347.8 million Astana-Motors plant with an annual capacity of 90,000 cars will be built in Almaty. Once commissioned, it will employ 2,200 people to produce vehicles of Chinese brands Chery, Changan, Haval and Tank.

Another automotive plant will be built in the Kostanay region for $172 million. It will produce 70,000 KIA cars per year, creating 1,500 jobs.

The KazGeoRud company will begin industrial development of the Limannoye deposit in the Aktobe region. The project value is estimated at $461 million and is expected to create 460 jobs. The planned annual capacity of the project is 1.2 million tons of ore.

EkibastuzFerroAlloys has the intention to build a ferroalloy plant in the Pavlodar region for $176.6 million. The enterprise will produce 240,000 tons of ferrosilicon per year, employing 800 local residents.

PZTM Ltd will launch a rail welding plant in the Aktobe region for $40.9 million and create 297 jobs. The new facility is expected to produce 825 km of railway rails and 290,000 pieces of rail sleepers per year.

TEMPO Kazakhstan will commission an LSAW steel pipe plant in the Karaganda region. The $28.6 million project will produce 250,000 tons of steel pipes per year, creating 400 jobs.

QazAlPack will modernize the production of aluminum packaging in Shymkent, investing $41.4 million and creating 112 permanent jobs. The planned capacity of the facility is 1,147 million pieces of aluminum cans and 910 million pieces of aluminum lids per year.

Silumin of Qazaqstan is going to launch the production of aluminum radiators in the Karaganda region for $35.5 million. The enterprise will produce 3.7 million radiator sections per year, providing steady jobs for 183 workers.

President of Kazakhstan Kassym-Jomart Tokayev has repeatedly drawn attention to the importance of industrial development and boosting manufacturing growth. This area remains a key driver of economic development in the region. According to various experts, the growth of indicators in the manufacturing sector signals a structural transformation of the national economy, an increase in added value and the country’s investment attractiveness. The government believes that tasks such as the development of the manufacturing industry, job growth and the integration of modern technologies are of strategic significance for Kazakhstan.

Earlier this year, the Ministry of National Economy reported that Standard & Poor’s had confirmed Kazakhstan’s sovereign credit rating at «BBB-/A-3» with a «stable» outlook. The rating agency noted that strong fiscal and external balances provide the country with sufficient reserves to reduce potential external risks, which became the key factors supporting Kazakhstan’s rating.