Kazakhstan Advances Industrial Modernization With 190 New Projects

Kazakhstan is intensifying efforts to diversify its economy and boost industrial competitiveness through large-scale modernization, new manufacturing ventures, and enhanced investment incentives, following a government review of President Kassym-Jomart Tokayev’s directives. Kazakhstan continues to expand its network of special economic and industrial zones to attract domestic and foreign investors, the Prime Minister’s press service reported.

According to the Ministry of Industry and Construction, investments in the manufacturing sector grew by 34.3% between January and September 2025, supported by upgrades to existing facilities and the development of new industrial infrastructure.

Expanding Special Economic Zones

In 2025, new SEZs were launched in the Aktobe and Kyzylorda regions, bringing the total to 16 SEZs, 61 industrial parks, and 34 small industrial zones nationwide.

Currently, 532 projects are operating within SEZs, including 85 with foreign participation, while 449 projects are under development. The total volume of foreign direct investment in SEZs has reached 925.3 billion tenge (US$1.7 billion).

Between January and September, five new investment agreements worth 3.1 trillion tenge (US$6.2 billion) were signed in the manufacturing sector, covering ferroalloy production, automobile manufacturing, and cement production.

Expanding Industrial Output and Job Creation

To ensure stable market demand, Kazakhstan has increased the use of long-term offtake contracts with manufacturers. By mid-2025, 1,035 contracts worth 1.18 trillion tenge (US$2.19 billion) were concluded—up 70% from the previous year.

The government is overseeing the implementation of 190 industrial projects worth 1.5 trillion tenge (US$2.78 billion), expected to create 22,600 new jobs in metallurgy, engineering, petrochemicals, and food processing.

Of these, 115 projects have already been commissioned, generating 13,384 jobs, while the remaining 75 projects are set for launch by 2026.

Focus on Deep Processing and Innovation

A key policy priority is advancing high-value and deep-processing industries that increase domestic value addition.

Flagship projects include the KIA Qazaqstan automobile plant in Kostanai, Astana Motors Manufacturing Kazakhstan in Almaty, and new facilities in metallurgy, chemicals, and food production.

In line with efforts to boost technological collaboration, KMG PetroChem and the National Academy of Sciences of Kazakhstan have signed an agreement to test locally produced urea fertilizer across 600 hectares, aimed at enhancing crop yields and expanding domestic agrochemical production.

Diversification and Long-Term Growth

Over the past three years, Kazakhstan’s industrial sector has expanded output across multiple industries, launching production lines for polypropylene, ferrosilicon, hot briquetted iron, household appliances, tires, fertilizers, and energy-efficient building materials.

According to the ministry, these initiatives reflect a long-term transition toward a technology-driven, export-oriented industrial base, reducing dependence on raw materials and fostering sustainable job creation.

Photo credit: Shutterstock

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© Свидетельство о постановке на учет периодического печатного издания, информационного агентства и сетевого издания №KZ15VPY00079493 выдано 19.10.2023