Steel Pipe Plant Project Discussed in Astana

Astana, August 2, 2025 – Gabidulla Ospankulov, Chairman of the Investment Committee of the Ministry of Foreign Affairs of the Republic of Kazakhstan, held a meeting with Li Xiangdong, Deputy General Director of Tianjin Youfa Group, and San Wenxu, Deputy General Director of Hong Kong Friend International Cooperation. The parties discussed the prospects of implementing an investment project to localize steel pipe production in Kazakhstan.

The project involves the construction of a straight seam pipe plant in the “Ontustik” Special Economic Zone in the city of Shymkent, with an investment volume exceeding 70 million US dollars and the creation of 283 jobs. The plant is expected to reach a production capacity of 200,000 tons per year. Its main output will be pipes in demand in the oil and gas industry, construction, utilities, and national infrastructure projects. The facility will be focused on import substitution: in 2024, Kazakhstan imported 428,000 tons of pipes worth 487 million US dollars.

During the meeting, Gabidulla Ospankulov provided a detailed overview of Kazakhstan’s investment support measures, including tax and customs incentives, investment preferences, and opportunities for project placement within special economic zones.

“For Kazakhstan, developing the manufacturing sector and localizing key production are critical. The construction of this pipe plant aligns with our priorities of diversifying the economy, supplying the domestic market with quality products, and increasing export potential. We are ready to provide full support at every stage – from administrative facilitation to connecting the project with state support instruments,” said Gabidulla Ospankulov.

In turn, Li Xiangdong emphasized that Kazakhstan is seen by the company as a key regional partner: “We highly value Kazakhstan’s investment potential, stable business environment, and the systematic support provided to foreign investors. We are confident that the pipe plant project will serve as a foundation for long-term and mutually beneficial cooperation.”

The pipe plant project in Shymkent is viewed as an important element of industrial cooperation and a stimulus for the development of local production in a strategically important sector. The parties expressed readiness to work together on the practical implementation of this initiative.

Hong Kong Friend International Cooperation Co., Limited is a subsidiary of Youfa Group, one of the largest pipe manufacturers in China. The company has an extensive production and logistics infrastructure, exports to over 100 countries, and holds leading positions in the steel pipe market across Asia.