This week, key topics were discussed in the fields of electric vehicles, transportation, economy, and services. In this weekly roundup, Spot has gathered the most important articles and news that you might have missed.
Electric Vehicles
The government of Uzbekistan approved a significant increase in the recycling fee for electric vehicles (HSN 8703 80) starting from May 1. This is stated in the Cabinet of Ministers' resolution dated January 31.
The commodity nomenclature of foreign economic activity 8703 80 includes vehicles powered solely by electric motors. Therefore, this does not apply to hybrid cars.
The amount of the recycling fee for electric cars varies based on the year of manufacture:
- if less than three years—120 BRV (45 million sums);
- if more than three years—210 BRV (78.75 million sums).
The recycling fee for certain vehicles was introduced by the government of Uzbekistan on August 1, 2020. At that time, the fee for electric vehicles under three years old was set at 30 BRV (a fourfold increase), and for those over three years old, it was 90 BRV (a 2.3-fold increase).
The objectives of increasing the recycling fee are to promote the use of "green" technologies, ensure the recycling of unusable batteries in imported electric vehicles without causing significant harm to the environment, and further accelerate localization efforts in this sector.
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Additionally, until January 1, 2030, electric vehicles and hybrids produced in the republic are exempt from recycling fees and customs duties on imported components (kits), raw materials, equipment, and technological tools.
Manufacturers are also allowed to import kits for large-scale assembly (SKD) or in ready form (CBU) without paying duties and recycling fees, up to 50% of the organized production capacity, but not exceeding 10,000 units per year, until they master the full cycle of electric vehicle and hybrid production (but not longer than 24 months from the date of implementation).
Economy
In January, monthly and annual inflation rates accelerated to their highest levels since 2023. The consumer price index showed an increase of 0.72% for the month, while the annual figure reached 9.89%. Vegetables saw the highest price increases (+6%), particularly eggplants (+59.6%) and potatoes (+23.9%). Conversely, dairy products notably decreased in price (-3.5%), including eggs (-14.3%).
Payments for sellers at capital markets are proposed to be increased. Most rates will rise by 20-30%, with vegetables, greens, and bread increasing by 10%.
The price of gold bars reached a new high on February 6. One gram of the precious metal was valued at 1,235,920 sums, while a 5-gram bar was priced at 6.18 million sums. Prices have hit peak values for the fifth trading day in a row, showing a growth of 4.2% for the week and 9.15% since the beginning of the year. Compared to the same day last year, gold has risen by 48%.
In January, Uzbekistan's international assets increased by $1.72 billion, approaching a maximum of $43 billion. The gold reserve set a new record value, exceeding $35 billion. At the same time, foreign exchange reserves significantly decreased.
Switzerland will return another $182 million to Uzbekistan, which was seized by the prosecutor's office in the case of Gulnara Karimova. The funds will go to the Uzbekistan Vision 2030 special fund and will be allocated for projects in education and healthcare.
6Alexander Filippovich is leaving his position as chairman of the board of Uzum Bank. The current head of Yangi Bank, Svetlana Khe, has been appointed as the new head of the bank after consultation with the Central Bank.
Ulugbek Tavakkalov has been appointed as deputy chairman of "Kapitalbank." The top manager will focus on developing the bank's retail direction after consulting with the Central Bank.
The private Anorbank has purchased buildings of the Ministry of Energy and the state company "Uztransgaz" in the center of Tashkent for nearly 440 billion sums ($33.92 million at the Central Bank rate). Both real estate transactions were made in January.
Uzbekistan has reached agreements with Malaysia regarding projects in the field of critical minerals. These include the production of ultra-pure graphite and high-purity monocrystalline and polycrystalline silicon.
The president has instructed to "mobilize all forces and resources" to limit the sale of AI-80 gasoline by the end of 2025. The use of mazut as fuel for enterprises producing heat and electricity will be prohibited. Dirty industries, including cement and metallurgical plants, will be relocated from Tashkent and regional centers.
Transportation
Malaysian AirAsia X will launch flights from Tashkent to Kuala Lumpur. T’way Air will connect the capital of Uzbekistan with Seoul, and Red Sea Airlines will link it with Sharm El-Sheikh.
Transport Minister Ilkhom Makhkamov announced the start of construction of the Transafghan highway in 2025. Uzbekistan is negotiating with donors to extend the railway to access the ports of Iran and Pakistan.
In 2025, the construction of toll roads from Tashkent to Andijan and Samarkand will begin. The president has instructed to expedite the implementation of both projects. More than 30 international companies are interested in the tender for the Tashkent-Andijan road.
Euro-5 class trucks and above will be exempted from recycling fees and customs duties for another three years. The president has instructed to double the number of flights to Samarkand, Bukhara, Urgench, Nukus, and Termez.
In 2024, Uzbekistan imported over 24,000 electric vehicles (a growth of 1.5 times), with a total value of $224.8 million. China remains the main supplier, accounting for more than 99.5% of total imports, followed by Kazakhstan and Hong Kong.
An electronic queue system for drivers will be implemented at customs posts. For an additional fee, customs clearance can be expedited without waiting in line (Fast Track).
Service Sector
On February 7, Shavkat Mirziyoev held a meeting regarding the service sector. Thus, banks will be able to directly purchase commercial premises from developers. These are planned to be leased or rented to trade and service enterprises.
The president criticized the complicated registration process for medical equipment imported by private clinics. He also noted numerous obstacles in the accreditation of medical laboratories in the regions.
Tax benefits for service sector enterprises will be extended until 2028. Developers and food service establishments will be allowed to enter into short-term employment contracts with workers.
The president criticized the practical absence of projects involving the private sector in drinking water supply, sewage, and road construction. This year, he instructed to increase the volume of services by 15%, reaching $82 billion, to raise service exports to $8.5 billion, and to ensure income for 2.5 million people.
7Mirziyoev instructed to simplify the online loan issuance process. The president criticized state banks for their lag behind private banks in providing remote services and set a task to increase their volume by at least 30% this year.
Banks will begin to account for discounts on local cars when providing loans. When fully paid, dealerships offer a discount on the vehicle, which can reduce car loans by 4%.
Approximately $50 million is planned to be allocated for startups in creative industries. The head of state has instructed to ensure the issuance of electronic visas to Uzbekistan within three days.
Pilgrims from Malaysia and Indonesia will be offered to visit Uzbekistan before Umrah. A tour package will be developed for them, including several days in Samarkand and Bukhara. Furthermore, to promote tourism, the president instructed to develop a program for organizing concerts, business forums, and exhibitions to attract 1 million tourists.
About 30 public services are planned to be transferred to the private sector. The president has instructed to increase the annual export of medical services to $30 million.
Articles of the Week
The founder of VITECH, Shamil Sadikov, shared in an interview