VW Group brand Skoda has announced that it intends to return to the Kazakhstan market after partnering with local distributor Allur.
Local assembly of the Kodiaq, Kamiq, Karoq and Octavia is expected to begin in early 2024, it said company.
Klaus Zellmer, CEO of Skoda Auto, said: “Kazakhstan represents an exciting opportunity for Skoda Auto as we accelerate our internationalization. This marks a return to a market with promising potential, as less than a fifth of the country's population currently own a car."
The Czech automaker operated in Kazakhstan between 2005 and 2021, delivering a relatively small number of vehicles to customers - more than 23,000.
The country has only 186 registered cars per 1,000 inhabitants, but the country has ambitions to develop the automotive industry.
Earlier this year, it was reported that Chinese Zeekr is an electric vehicle brand Geely confirmed its presence in the country, citing that "growing customer" demand in Central Asia has made Kazakhstan a "key market" in the region.
Martin Jan, Skoda Auto board member for sales and marketing, added : “Next year we plan to open 15 car dealerships in major cities of Kazakhstan, such as Astana, Almaty, Shymkent and Kostanay. We will be offering customers not only our best-selling Octavia, but also the globally successful Kodiaq, Kamiq and Karoq SUVs. The SUV segment is now the second largest in the market and we are introducing a modern and attractive range that will resonate with customers in the region.”
Skoda Auto says it sees “significant” growth potential in the Kazakhstan car market . Total market sales are projected to exceed 200,000 units over the next five years. Given these forecasts, the automaker aims to achieve a sustainable market share of 5% between 2024 and 2028.
