The Nakhchivan Automobile Plant and Chinese Lifan company have signed a new contract that will enable the Azerbaijani side to sell the products to third countries and in particular Georgia and Central Asian countries.
The document was signed during the visit of a delegation from the Nakhchivan automobile plant in Chongqing.
As the head of the Nakhchivan automobile plant, Musa Abdullayev told Trend, technical specialists at the Azerbaijani plant are preparing a plan of gradual localisation of production of component parts in the republic. At the same time in order to improve the service of Lifan cars in Azerbaijan, the Chinese company will build a service centre in one of the regions in the country.
This year it is planned to manufacture 2500 to 3000 Lifan branded cars. From May the country will start assembling three updated Lifan models, Abdullayev said.
During the meeting, the Chinese side appreciated the Azerbaijani leadership's role in expanding Azerbaijan-China economic and trade relations, creating favourable conditions for business development in the country. It was stressed that Azerbaijan's policy promotes economic development and approves its leadership in the region.
Construction on the Nakhchivan Automobile Plant began in 2008. It was commissioned on January 11, 2010.
A cooperation contract within the Azerbaijani-Chinese Business Forum of the Nakhchivan automobile plant and Chongqing Lifan Industry automotive corporation in Beijing was signed in May 2009. The contract envisages the assembly of Lifan passenger cars in Nakhchivan.
The plant uses the latest models of equipment made in Germany, Belgium, and Italy. The total plant area is 2.6 hectares.
The plant's capacity is 5,000 cars per year. The plant plans to produce 1,000 cars during the first year. Around 50 local employees work there. The vehicles are assembled under Chinese experts' control.