Kazakhstan moves to boost EV manufacturing in bid to reduce fossil fuel reliance
Astana explores auto partnership with Malaysia’s Proton as part of long-term transition to green industry
ASTANA, Kazakhstan (MNTV) — Kazakhstan is accelerating efforts to shift away from fossil fuel dependency, holding talks with Proton, the national automaker of Malaysia, to explore setting up electric vehicle (EV) production within the country.
Prime Minister Olzhas Bektenov met with Proton CEO Li ChunRong on June 19 to discuss potential industrial cooperation, including local manufacturing of both conventional and electric vehicles.
According to the Astana Times, the talks also included plans for technology transfer and workforce training aimed at developing Kazakhstan’s domestic capabilities in automotive engineering.
The move comes as Kazakhstan seeks to modernize its economy and align with global trends toward decarbonization. While the country remains a major oil exporter, it has pledged carbon neutrality by 2060 and is increasingly courting green investments in sectors like renewable energy and electric mobility.
Proton also held meetings with executives from Kazakh automaker Allur, discussing opportunities for localizing production, sharing engineering platforms, and ensuring environmental compliance. Officials say the potential partnership could establish Kazakhstan as a regional hub for clean vehicle manufacturing.
Investment in mechanical engineering reached 55 billion Kazakhstani tenge ($105.7 million) in the first quarter of 2025, following a major rise in 2024 when total investment more than doubled to 282 billion Kazakhstani tenge ($542 million). The government views the sector as a central pillar of its diversification strategy.
With major powers such as China and the European Union expanding their EV footprints across Asia, Kazakhstan’s outreach to Proton signals an effort to keep pace in a shifting industrial landscape. If finalized, the collaboration would mark a step toward integrating Kazakhstan into global green value chains while reducing reliance on fossil-fuel exports.