Automotive Components Holding

The Resolution of the Council of Ministers of the Republic of Belarus No. 656 dated May, 23, 2011 «On the National Export Promotion Program of the Republic of Belarus for 2011-2015».

The National Export Promotion Program of the Republic of Belarus for 2011-2015 has been approved by the Resolution.

It has been established that with the purpose of increasing the export potential of Belarusian enterprises considering the preferences of participation of the Republic of Belarus in the Customs Union there will be the following:
— activating cooperation in industrial sphere, first of all in mechanical engineering, pharmacy, other spheres;
— organizing in the Republic of Belarus production of automotive components for motor vehicles assembling of foreign brands produced in the Russian Federation in the framework of the automotive components localization program. According to expert opinion, Belarusian industry will be able to produce up to 10% of all automotive components for foreign cars assembled in Russia which will provide additional export up to 5 billion USD dollars annually already by 2013 (taking into account the Strategy of market entering of automotive components for foreign cars assembled in Russia, for 2010-2013 and in the following years);
— maximum industrial potential use of assembling of agricultural and automotive equipment produced in the Customs Union countries, for increasing export deliveries of Belarusian components;
— activating cooperation in innovation sphere by implementation of joint projects in the high-tech sphere with the Customs Union countries, development of cooperation with established scientific production holdings in the high-tech sphere (nuclear technologies, space technologies, technologies in the sphere of medicine, strategic information technologies);
— working out new perspective items, technically better than the foreign similar products (the innovation sector share in GDP of Russia will increase in 2020 by 18% at reducing of the share of oil and gas sector to 11%);
— providing of Belarusian enterprises participation in state purchases of the Customs Union countries, interaction of potential buyers in these countries, local banks and other structures for identification of needs in equipment purchasing and possibility of supplies credits;
— expansion of sales of Belarusian equipment by costs of credit resources of JSC «Sberbank of Russia» and other banking structures of Russia, searching for interested banking structures of Kazakhstan for organizing similar facilities of Belarusian equipment supplies;
— activities expansion of JSC «Promagroleasing» with the purpose of Belarusian products supplies to the Customs Union countries according to schemes of Belarusian leasing;
— sales volume increasing in the Customs Union countries of products of the agricultural complex, textile and sewing products in the segment of more expensive and high-quality goods.

The Automotive Components Holding was established according to the Presidential Decree ¹ 388 dated 30.08.2011.

The establishing of the holding will allow moving to a new quality level of organization of business as a whole and separate business processes.

The main tasks of the holding are: establishing of the unitary management and control system, rational organization of financial streams, formalization of ownership relations, providing investment transparence, assets protection, reducing maintenance costs for the holding structure, work improvement of the whole system and raising investment attractiveness with the purpose of attracting investors and getting the opportunity of public offering of shares.

The Automotive Components Holding includes 13 enterprises which can be divided into 4 groups according to their products:
— JSC «BATE»- managing company of the Holding «Automotive components», City of Borisov, (starters, alternators);
— JSC «AGU», City of Borisov, (steering mechanisms, steering booster pumps, boosters, steering booster cylinders);
— JSC «BZA», City of Borisov (turbo chargers, pneumo chargers, water and oil pumps, oil filters, drives of hydro pumps and tachospeedometer drives);
— JSC «Belcard», City of Grodno (hydraulic decelerators, cardan shafts, shafts, cab and seat suspensions, brake chambers, gas springs, flanged pieces of transmission aggregates);
— JSC «Remiz», City of Zhodino, (air filters);
— JSC «VZEP»», City of Vitebsk (instruments for vehicle networks, instrument covers, indicators, speedometers, tachometers, tachospeedometers);
— JSC «EKRAN»», City of Borisov (antilock systems, transmitters, windscreen washers, battery disconnect switches, electronic breaker of turning indicators);
— JSC «Prema», town of Gorky (heaters, fans, low-power electric motors);
— JSC «Rudensk», town of Rudensk (headlights, lamps, cat’s eyes);
— JSC «Shchuchin Avtoprovod», town of Shchuchin (wires, automotive and tractor harnesses);
— JSC «Radiotekhnika», town of Oshmyany (light devices for automotive and tractor equipment, electric magnets, transmitters, switches, connectors and pin connectors).