Kazakhstan’s integrated steelmaker Qarmet plans to begin producing automotive-grade steel sheet in 2028, with serial production of automotive body panels scheduled to start in 2029, as part of efforts to develop a domestic steel supply chain for the country’s growing automotive industry.
The project brings together Qarmet, vehicle manufacturer Allur, Kia Qazaqstan and other industrial partners to establish a fully integrated value chain linking domestic steel production with vehicle manufacturing.
According to Allur Group chairman Andrey Lavrentyev, Qarmet will produce automotive sheet steel meeting international vehicle manufacturers’ specifications from 2028. Commercial production of stamped body panels is expected to begin a year later, with planned capacity of at least 100,000 vehicle bodies annually using a minimum 75pct Kazakhstan-produced steel.
The project is expected to reduce the country’s reliance on imported body panels while increasing domestic value addition and creating long-term demand for higher-value flat steel products.
Kazakhstan’s Prime Minister Olzhas Bektenov described the project as strategically important for the country’s industrial development, adding that the initiative would strengthen integration between the steel and automotive sectors alongside Qarmet’s ongoing modernization programme.
Qarmet, formerly ArcelorMittal Temirtau, operates Kazakhstan’s largest integrated steelworks at Temirtau. The company was acquired by Allur co-owner Andrey Lavrentyev in 2023 and has since launched an investment programme aimed at modernizing production and expanding value-added steel products.