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AutoKrAZ Holding Company

From Gasgoo.com| January 03 , 2008

Production of trucks in Ukraine, as well as engineering, includes production itself and large-unit assembling. Production only is represented by an automobile industry giant of the USSR – Kremenchug Automobile Plant (presently AutoKrAZ Holding Company). The company specializes in the engineering of heavy trucks, including cross-country trucks and various special machinery upon the chassis of KrAZ vehicles (tank trucks, concrete mixers, drilling systems, cranes, etc).

Till recently, AutoKrAZ Holding had been the largest exporter of motor vehicles in Ukraine, since its vehicles earned an excellent reputation in the most complex climatic conditions. Throughout 2004, AutoKrAZ Holding exported more than 1,209 trucks, and all of the shipments were bound for Iraq. In 2005, the export of KrAZ vehicles grew to 2,751 automobiles, with a total value exceeding USD 80 mn Kremenchug Automobile Plant boosted supplies of machinery to the CIS 1.2 times (in 2005, 1,090 KrAZ vehicles were shipped to consumers in the CIS, including more than 700 to the Russian Federation). The main buyers of KrAZ devices in Russia are machine building plants which engineer special equipment for oil and gas industry; and 43% of Russia-bound machinery exports were chassis. Dump trucks accounted for 34%, and truck tractors – 15%. Large lots of KrAZ equipment headed to Kazakhstan and Turkmenistan (more than 130 vehicles to each country). Supplies to non-CIS countries contributed around 53% to gross exports. In 2005, KrAZ vehicles were shipped to Angola, Burma, Egypt, Sudan, Syria, Pakistan, and other countries. The company has serious projects for the Latin American market. Stronger positions in world sales markets are shown by winning of some serious tenders: because of its technical and service advantages, KrAZ vehicles were chosen by the militaries of Egypt and Syria, oil and gas companies in Ukraine, Uzbekistan, and Turkmenistan, as well as domestic companies involved in road building, construction, and mining industries.

The company does not restrict its activities to export only, but focuses on domestic market as well through the development of new models according to the requirements of key Ukrainian customers: construction and industrial companies. In 2005, AutoKrAZ gained a stronger foothold in the local market having sold 737 automobiles, which was 1.7 times more than in 2004.
In 2005, the company boosted production volumes 1.6 times over 2004. Output totaled 3,571 cars, including 204 cars with engines which meet Euro-2 requirements. The improvement of the environmental safety of KrAZ vehicles will help the company overcome a key barrier in the way to markets of developed countries. Besides trucks, KrAZ engineered 102 units of specialized vehicular machinery.

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