Identifier
Created
Classification
Origin
07ASTANA3276
2007-12-07 12:02:00
UNCLASSIFIED
Embassy Astana
Cable title:
GENERAL MOTORS RIDES INTO KAZAKHSTAN
how-toVZCZCXRO6308 RR RUEHAST RUEHBI RUEHCI RUEHLH RUEHLN RUEHPW RUEHVK RUEHYG DE RUEHTA #3276 3411202 ZNR UUUUU ZZH R 071202Z DEC 07 FM AMEMBASSY ASTANA TO RUEHC/SECSTATE WASHDC 1322 INFO RUEHAST/USOFFICE ALMATY 0040 RUCNCIS/CIS COLLECTIVE 0324 RUCNCLS/SOUTH AND CENTRAL ASIA COLLECTIVE
UNCLAS ASTANA 003276
SIPDIS
SIPDIS
DEPT FOR SCA/CEN - O'MARA
E.O. 12958: N/A
TAGS: ECON ETRD EINV EIND ELTN KTDB KZ
SUBJECT: GENERAL MOTORS RIDES INTO KAZAKHSTAN
Ref: Astana 2201
UNCLAS ASTANA 003276
SIPDIS
SIPDIS
DEPT FOR SCA/CEN - O'MARA
E.O. 12958: N/A
TAGS: ECON ETRD EINV EIND ELTN KTDB KZ
SUBJECT: GENERAL MOTORS RIDES INTO KAZAKHSTAN
Ref: Astana 2201
1. General Motors is rapidly expanding its still modest presence in
Kazakhstan, GM European affairs executive director Trayce Wakefield
told the Ambassador on October 31. Through collaboration with Azia
Avto, a Kazakhstani company, GM is now assembling Chevrolet cars in
Ust Kamenogorsk (East Kazakhstan Oblast) at a plant that also
assembles Avtovaz (Lada),Skoda, and Suzuki cars. The Azia Avto
operation employs about 3,000 people, of which approximately 500
work on the Chevrolet operation.
2. Having launched Chevrolet in Kazakhstan, GM also has plans to
introduce the more expensive Opel brand. GM Marketing Manager for
Kazakhstan Assel Kozhakova told Econoff on November 8 that for now,
GM assembles in Kazakhstan several Chevrolet models, with prices
ranging from around $12,000 (for a bare-bones Aveo) to $39,000 (for
a fully equipped Captiva SUV). GM is also importing into Kazakhstan
bigger, more upscale SUV's, including Chevrolets, Cadillacs, and
Hummers, all assembled in the U.S. and United Arab Emirates.
3. According to Wakefield, GM has a good relationship with the
Kazakhstani Government and has ambitious expansion plans in the
country. It already has 13 dealerships in 13 different cities and
intends to open more, including a soon-to-be-completed "very large"
dealership in Almaty. That dealership will offer Chevrolets, Opels,
Hummers, and probably Saabs.
4. Sales of new GM cars are currently growing at nearly 30 percent
per year. Kozhakova said that the recent ban on importation of
right-hand drive vehicles is helping increase demand for GM cars.
GM's management in Kazakhstan is pinning additional hopes on the
possible introduction of stricter environmental standards, which
could benefit the automaker at the expense of its competition,
including the burgeoning industry of importing used vehicles from
western Europe. (Note: Stricter emission and fuel quality standards
may, indeed, be coming to Kazakhstan soon. See Reftel. End note.)
ORDWAY
SIPDIS
SIPDIS
DEPT FOR SCA/CEN - O'MARA
E.O. 12958: N/A
TAGS: ECON ETRD EINV EIND ELTN KTDB KZ
SUBJECT: GENERAL MOTORS RIDES INTO KAZAKHSTAN
Ref: Astana 2201
1. General Motors is rapidly expanding its still modest presence in
Kazakhstan, GM European affairs executive director Trayce Wakefield
told the Ambassador on October 31. Through collaboration with Azia
Avto, a Kazakhstani company, GM is now assembling Chevrolet cars in
Ust Kamenogorsk (East Kazakhstan Oblast) at a plant that also
assembles Avtovaz (Lada),Skoda, and Suzuki cars. The Azia Avto
operation employs about 3,000 people, of which approximately 500
work on the Chevrolet operation.
2. Having launched Chevrolet in Kazakhstan, GM also has plans to
introduce the more expensive Opel brand. GM Marketing Manager for
Kazakhstan Assel Kozhakova told Econoff on November 8 that for now,
GM assembles in Kazakhstan several Chevrolet models, with prices
ranging from around $12,000 (for a bare-bones Aveo) to $39,000 (for
a fully equipped Captiva SUV). GM is also importing into Kazakhstan
bigger, more upscale SUV's, including Chevrolets, Cadillacs, and
Hummers, all assembled in the U.S. and United Arab Emirates.
3. According to Wakefield, GM has a good relationship with the
Kazakhstani Government and has ambitious expansion plans in the
country. It already has 13 dealerships in 13 different cities and
intends to open more, including a soon-to-be-completed "very large"
dealership in Almaty. That dealership will offer Chevrolets, Opels,
Hummers, and probably Saabs.
4. Sales of new GM cars are currently growing at nearly 30 percent
per year. Kozhakova said that the recent ban on importation of
right-hand drive vehicles is helping increase demand for GM cars.
GM's management in Kazakhstan is pinning additional hopes on the
possible introduction of stricter environmental standards, which
could benefit the automaker at the expense of its competition,
including the burgeoning industry of importing used vehicles from
western Europe. (Note: Stricter emission and fuel quality standards
may, indeed, be coming to Kazakhstan soon. See Reftel. End note.)
ORDWAY