At what stage is the privatization of UzAuto Motors, and companies from which countries are interested in the purchase

What stage the privatization of UzAuto Motors is at and companies from which countries are interested in buying

Companies from the US, South Korea, and China have shown interest in the privatization of UzAuto Motors and UzAuto Motors Powertrain. Sokhibjon Murodov, Director of the State Assets Management Agency (SAMA), announced this at a press conference on October 8.

Answering a question about the possible sale of UzAuto Motors to a Chinese investor, he said:

"Today, we are receiving proposals. In particular, American, South Korean, and Chinese companies have expressed interest."

At the same time, the head of SAMA urged not to consider statements by potential buyers as a sign that the decision to transfer the enterprise to one of them has already been made.

"I would like to ask you to convey to the public and to everyone interested in the privatization of UzAuto Motors: if a company says today that it wants to buy the enterprise, this does not mean that we will sell it to that exact company," Murodov emphasized.

According to him, such assumptions could impair competition, as they are capable of creating a false impression among other participants about the conditions of future bidding.

"The process is not oriented toward any single company. This will be an open international tender," the agency head stated.

Murodov did not name the companies that expressed interest and did not clarify whether official proposals had been received from them or if these were preliminary inquiries.

The director of SAMA reported that preparations for the sale of UzAuto Motors and UzAuto Motors Powertrain started about two years ago.

According to him, in 2025, an international consulting company was engaged on a competitive basis for pre-privatization preparation. It is engaged in preparing analytical materials, conducting audits, and developing proposals for privatization.

"We selected this company because, unlike a number of other international consultants, it participated in major deals in the global automotive market, knows this industry well, and has the relevant specialists at its disposal," Murodov explained.

Currently, according to him, the agency is developing a privatization scenario, including the sequence of stages and the timeline for their implementation.

The next step should be the selection of an international consultant specifically for organizing the tender. After that, an international asset valuation and due diligence are planned.

Following this, SAMA intends to announce the sale through international information channels, as well as Uzbek and foreign media.

"After investors express interest, their screening will be conducted. Then we will receive non-binding offers, and at the next stage — binding ones. After that, negotiations will begin with the investors who submitted the best offers," the head of the agency informed.

Murodov noted that during the negotiations, not only the offered price will be taken into account, but also the requirements of the state, including current licensing terms, their validity periods, and the provisions of alliance agreements.

"There are a number of conditions, and all of them will be announced. Negotiations will be conducted based on them, and information on the progress of the sale will be published," he stated.

At the same time, the head of SAMA did not specify exactly when the bidding will begin, how much the state expects to receive from the sale, or whether the two enterprises will be sold together or separately.

This involves the sale of a 99.7% stake in UzAuto Motors and a 100% stake in UzAuto Motors Powertrain.

UzAuto Motors is engaged in the production of cars under the Chevrolet brand. The company's plants are located in the Andijan and Khorezm regions.

UzAuto Motors Powertrain has been producing engines and other power units for the automotive industry in the Sergeli district of Tashkent since 2008.

Spot reported that the privatization will take place on a competitive basis, and any investor meeting the requirements of the legislation will be able to participate.

The agency emphasized that individual companies, including the American General Motors, will not be granted preferences or a preemptive right to acquire the asset.

The final sale strategy, including the question of the possible sale of the two enterprises as a single lot, is to be determined taking into account the proposals of the international consultant.

One of the issues of the upcoming privatization remains the further validity of agreements with the American General Motors.

According to the UzAuto Motors investor memorandum from November 2025, the alliance agreement between Uzavtosanoat and General Motors, concluded in October 2017, is valid indefinitely. Meanwhile, GM's technological license covers the period from 2017 to 2027. The document notes that the continuation of cooperation and its current conditions in the future is not guaranteed.

The General Motors license gives the company the right to produce certain car models of the American concern, use relevant trademarks and technologies, and sell cars in agreed markets. The license is non-exclusive and non-transferable.

In an interview with Daryo published on the eve of the press conference, Murodov reported that the possibility of extending GM's licensing agreements is being considered as part of the privatization strategy development.

"This is also taken into account. This is one of the directions of the privatization strategy," he said.

Privatization plans for UzAuto Motors have been discussed at the state level for several years.

In April 2022, the president instructed to ensure the placement of up to 10% of UzAuto Motors shares on the domestic stock market and to prepare a strategy for selling the remaining stake in the enterprise, as well as UzAuto Motors Powertrain, to strategic investors.

In April 2026, President Shavkat Mirziyoyev was briefed on the progress of preparations for the privatization of a number of major state assets, including UzAuto Motors and its constituent enterprises, Navoiyazot, and thermal power plants.

At the meeting, instructions were given to accelerate privatization processes and reduce state participation in the economy.

As a reminder, in November 2025, Uzbekistan and the US signed agreements worth billions of dollars, including the import of auto components worth $5 billion and discussions on the participation of American companies in the privatization of UzAuto Motors.

The company that produces and sells Chevrolet cars was planned to be put up for auction in the first quarter of 2026.