Attendees: CEO of Astana Motors Beknur Nesipbayev, founder of Astana Motors Nurlan Smagulov, First Deputy Prime Minister of the Republic of Kazakhstan Roman Sklyar, CEO of Open Element Mustapha Akkari, Chairman of Hands Corporation Seung Hyun-chang, and Deputy Minister of Foreign Affairs Alibek Kuantyrov.

On February 4, a tripartite memorandum of understanding was signed  in Astana to establish a joint venture between the domestic company Astana Motors and international partners Open Element (USA) and Hands Corporation (Republic of Korea). The agreement centers on a high-tech project for the production of automotive components – aluminum alloy wheels.

The signing ceremony took place in the presence of the First Deputy Prime Minister of Kazakhstan Roman Sklyar, Deputy Minister of Foreign Affairs Alibek Kuantyrov, and Astana Motors founder Nurlan Smagulov. The document was signed by Beknur Nesipbayev (CEO, Astana Motors), Seung Hyun-chang (Chairman, Hands Corporation), and Mustapha Akkari (Founder and CEO, Open Element).

The project to produce aluminum wheels is aimed at increasing localization depth and reducing import dependency. The creation of a joint venture involving major companies from Kazakhstan, the USA, and the Republic of Korea also represents a significant step toward developing related industries and forming a sustainable ecosystem for automotive components within the country. The project includes the construction of a modern plant.

The enterprise will be Kazakhstan’s first modern production plant for aluminum wheels featuring a full technological cycle and the transfer of advanced engineering solutions.

The South Korean company Hands Corporation is a global leader in the production of aluminum wheels. Founded in 1972, it is ranked among the top 6 manufacturers worldwide and holds over 60% of the market share in South Korea. Hands Corporation operates production facilities in South Korea, China, and Morocco, serving leading global automakers including Hyundai, Kia, GM, Ford, Volkswagen, and Skoda.

"We possess proven technologies, scale, and experience working with global Original Equipment Manufacturers (OEMs). Kazakhstan is the logical next step for expanding our manufacturing presence," emphasized Seung Hyun-chang, Chairman of Hands Corporation.

The American company Open Element specializes in the localization and scaling of automotive component manufacturing.

"At Open Element, we build intelligent manufacturing supply chains where technology, talent, and long-term demand converge. Kazakhstan represents exactly that opportunity - a market with real industrial depth and the ambition to scale. Partnering with Astana Motors gives this vision momentum: their leadership in the automotive sector, existing production footprint, and strong demand create the foundation to build something enduring, globally competitive, and future-ready,” – said Mustapha Akkari, Founder and CEO of Open Element. 

According to the foreign partners, the choice of Kazakhstan as an investment site was driven by a combination of economic and strategic factors. Kazakhstan is currently demonstrating steady growth in automotive production despite a high reliance on imported components, creating an objective need for localization. An additional factor is the availability of a raw material base and a developed aluminum sector, making the local production of aluminum wheels economically viable and competitive.

"In the first stage, the plant's output will be oriented toward meeting the needs of Astana Motors' own assembly plants. Moving forward, the project is designed to expand supplies and collaborate with other automotive industry participants across the EAEU and CIS countries," said Beknur Nesipbayev, CEO of Astana Motors.

This large-scale project to establish a new joint venture for aluminum wheel production is part of Kazakhstan’s long-term strategy to transition into a major manufacturer and supplier of automotive components for both domestic and regional markets.