(JW Insights) Oct 10 -- The Uzbek government has agreed to provide policy support for Chinese new energy vehicle giant BYD to produce cars in the Central Asian country, reported Yicai Global.

BYD and the Ministry of Investment, Industry, and Trade of the Republic of Uzbekistan have signed an investment agreement for the latter to provide policy support for the joint venture of BYD and Uzbek automotive group Uzavtosanoat JSC to manufacture NEVs in Uzbekistan, the Shenzhen-based company announced on October 9.

BYD and Uzavtosanoat set up the JV in Jizzakh in December last year. The company would be responsible for building and operating a factory producing electric cars under BYD’s Destroyer and Song brands and auto parts.

The first and second phases of the JV plant are expected to reach 50,000 units each, with the third phase expected to add 100,000 units of capacity once completed.

BYD’s NEVs hit the Uzbek market in March. Since then, the carmaker has opened seven official sales and service centers nationwide and delivered over 5,000 cars.

Overseas expansion has become a new growth point for BYD, according to its latest interim report. The automaker’s revenue from overseas business reached RMB64.4 billion ($8.8 billion) in the first half, up 93 percent from a year earlier and accounting for nearly a quarter of its total revenue, said the Yicai Global report.

(Gao J/Yuan XY)