Cheap tractors to be assembled in the Khabarovsk Territory

Under the auspices of the Khabarovsk Territory Investments and Development Agency, Far East Development Corporation has approved an application for including an investment project of LLC Spetstekhnika K in the Khabarovsk priority social and economic development area. The project contemplates the construction of a plant for assembling road construction machinery at a site located in Rakitnoye village. It is expected that tractors to be manufactured by this facility will be 3 times cheaper than their foreign equivalents

Cheap tractors to be assembled in the Khabarovsk Territory

Under the auspices of the Khabarovsk Territory Investments and Development Agency, Far East Development Corporation has approved an application for including an investment project of LLC Spetstekhnika K in the Khabarovsk priority social and economic development area. The project contemplates the construction of a plant for assembling road construction machinery at a site located in Rakitnoye village. It is expected that tractors to be manufactured by this facility will be 3 times cheaper than their foreign equivalents.

The cost of the project that will annually output 1.5 to 2 thousand units of machinery and create 60 new jobs is more than RUB 2.5 billion. It is expected that the plant will manufacture more than five hundred front loaders and 1.5 thousand tractors annually. The erection of the facility will take two years with 51% of total costs accounting for equipment.

The project's payback period will be approximately 8 years. Spetstekhnika K, a Russian company, and Chinese Shenlu will act as investors for the project. JSC Fund for Development of the Far-East and Baikal Regions intends to invest RUB 964 million

A 10-hectare land plot being part of the investment site has been allocated for implementing the project. The term of the lease will be 49 years. The facility has previously assembled 15 wheeled front loaders. The loaders have been tested and certified.