Uzbekistan is introducing new incentives to attract major foreign companies in electronics, electrical engineering and robotics. Under a presidential decision, strategic investors implementing projects worth $50 million or more will be exempt from profit, property and land taxes for 10 years. The incentives are aimed at large international companies that participate in global supply chains and have been included in the Forbes Global 2000 ranking during the past three years.
What will investors receive?
Foreign companies will be offered ready-to-use production facilities in special economic zones. The facilities will be provided with electricity, gas, water, sewage and railway infrastructure. In return, investors will have to meet several requirements:
- invest at least $50 million in the project;
- increase the share of local value added to at least 40% within three years;
- allocate at least 3% of their profits to research and development (R&D).
The government also plans to organize international forums and roadshows to attract major global companies to the country.
The new incentives are part of a broader plan to develop Uzbekistan’s electrical and electronics industry. The sector’s production increased from 4.7 trillion soums in 2018 to 43.1 trillion soums. Uzbekistan currently exports electrical and electronic products to 65 countries, while annual sector exports have exceeded $1 billion.
By the end of 2026, the government plans to increase production to 51 trillion soums and exports to $1.6 billion.
By 2030, the targets include raising production in electrical engineering and related industries to $11 billion, exports to $5 billion, and attracting $3 billion in investment. Local manufacturers currently meet up to 80% of domestic demand for household appliances, while around 30% of locally produced goods are exported. The new policy is intended not only to increase production but also to bring major international brands to Uzbekistan and deepen the localization of their manufacturing.
