Production in Kazakhstan’s Railway Engineering Grew by 22.5%

At the Government session chaired by Prime Minister Olzhas Bektenov, issues of railway industry and infrastructure development were reviewed. Minister of Industry and Construction Yersaiyn Nagaspayev delivered a report on the growth of production volumes and the implementation of major investment projects.

According to him, railway engineering remains one of the key areas of domestic industry development, accounting for 13% of the country’s total mechanical engineering output. Currently, 60 enterprises operate in this sector, employing over 8,000 people.

Last year, the volume of product output increased by 22.5% and reached 734 billion tenge. Over the past five years, the industry has seen high investment activity driven by programs to stimulate the renewal of the national operator’s wagon fleet. This has enabled the localization of production by leading global companies such as Wabtec, Alstom, and Stadler, with the localization level for certain types of products already reaching 35–40%. Work to deepen localization continues through expanded cooperation with domestic suppliers and the creation of joint productions.

“By the results of the first five months of this year, the production volume of rolling stock increased by more than 9%, and for certain types of products — by up to 1.7 times. By the end of the year, overall production volumes are expected to remain at last year’s level with slight growth due to increased output of other types of products,” the Minister noted.

The positive dynamics of the industry are largely ensured by the implementation of several major investment projects in the regions, which allow for the consistent renewal of passenger and freight rolling stock.

Last year, the “Stadler Kazakhstan” plant with an annual capacity of up to 100 passenger wagons was commissioned in Astana. Until 2030, the enterprise has a firm contract for the supply of 557 wagons for KTZ, and modern trains equipped with advanced technologies will begin appearing on routes from this year.

“One of the key projects in the sector is also the expansion of passenger wagon production at the ZIKSTO plant in North Kazakhstan Region. The enterprise ensures the production of up to 200 passenger wagons per year. In 2026–2027, an investment project worth 24 billion tenge is planned here, aimed at modernizing production and increasing output volumes. This will create about 470 jobs and raise the level of localization and competence of domestic wagon building. Wagons upgraded at the plant are already in use on railway routes from this year,” Yersaiyn Nagaspayev noted.

At the same time, freight fleet production is actively scaling up in the republic, and new industrial clusters and service centers are being created.

Last year, a wagon-building plant with an annual capacity of 6,000 freight wagons and tank cars was launched in Atyrau Region. The enterprise has successfully passed certification for the production of tank wagons and will produce its first 70 units this year. To increase the localization level, the investor has begun construction of a foundry plant with a capacity of 60,000 tons of parts per year, with a planned launch in 2027. In addition, a new production line for gondola cars with an annual capacity of up to 600 units was launched at the Semipalatinsk Machine-Building Plant.

A significant industrial hub has been formed in Pavlodar Region. In Ekibastuz, a full-fledged cluster of enterprises specializing in the production of both finished railway equipment and components has been created. A banding complex with a capacity of 160,000 finished units per year was also commissioned in this cluster. An important area is the localization of equipment maintenance in cooperation with Alstom. Under the investment agreement, four service centers are being built in Astana, Almaty, Shu, and Arys. The centers in Shu and Almaty have already been commissioned, while construction continues in Astana and Arys. The project will create 700 jobs and ensure a full cycle of locomotive maintenance.

#Investments #Logistics #Manufacturing industry #President's instruction #Transport

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