Motorcycle Manufacturing Lines in Xinjiang Commence Operations Targeting Central Asia Market

The Pilot Free Trade Zone (FTZ) in the Horgos area, located in the Xinjiang Uygur Autonomous Region of northwest China, reported on Saturday the commencement of two motorcycle manufacturing lines set to serve the Central Asian market. This announcement came after the first series of motorcycles successfully came off the production lines.

The production lines are the property of Horgos Kingold New Energy Technology Co., Ltd. Each line has the ability to produce up to 500 motorcycles per day.

The company has already scheduled its initial order, with 1,200 motorcycles earmarked for export to Kazakhstan in February. Additionally, it has managed to secure pre-orders for over 20,000 motorcycles.

The motorcycle manufacturing project, which focuses on new energy photovoltaic motor tricycles, two-wheeled electric vehicles, and fuel motorcycles, came to fruition at a cost of 1.5 billion yuan (approximately $211.27 million). The entire project is planned in two stages. The two currently active production lines represent the first phase of this project.

The company intends to incorporate regional resources such as steel, aluminum, and electricity into its production process. The aim is to ensure that at least 60 percent of the component parts used in manufacturing a motorcycle are produced locally in Xinjiang.

Yuan Zhiyou, the company’s chairman, states, "This strategy will considerably lower costs in comparison to other provinces and cities within the country, and bolster our stance in the market."

The Xinjiang Pilot Free Trade Zone (FTZ) – which includes the iconic regions of Kashgar prefecture, Urumqi, and Horgos, and spans roughly 180 square kilometers – is the first of its kind in China's northwestern border regions. The pilot FTZ strives to play a pivotal role in integrating Xinjiang with both domestic and international markets and to stimulate local socioeconomic progress.

Sanya Singh for TROIB News