Tashkent, Uzbekistan (UzDaily.uz) — Uzbekistan is focusing its next stage of industrial development on deeper processing of local raw materials, higher value-added production, technological innovation, cooperation between large enterprises and small businesses, and integration into global supply chains. The new growth drivers were outlined in an analytical report by the Ministry of Economy and Finance.
According to the ministry, industrial policy is entering a qualitatively new stage. While production growth itself was previously a key priority, competitiveness, value added, labour productivity, energy intensity and demand in external markets will now serve as the main criteria. The ministry believes that each investment should bring advanced technologies into the country, support the development of new products and create skilled jobs.
These priorities are supported by current results. In January–August 2026, industrial output reached 926.5 trillion soums, up 8% from a year earlier. Industrial output per capita amounted to 24.1 million soums, while 65,300 industrial enterprises were operating in the country as of 1 September. According to the ministry, industry has grown faster than GDP on average in terms of gross value added in recent years and has become one of the key drivers of the economy.
Driver 1: Deeper processing of raw materials
The ministry identifies deeper processing of local raw materials as the main source of new growth opportunities. The approach is to carry out as many stages of processing as possible within the country. Expanding copper processing creates opportunities for producing cables and electrical equipment, while cotton processing can support the production of finished clothing.
Higher-value products can also be developed in agriculture by expanding technologies for processing, packaging and storing agricultural products. According to the ministry, each additional stage of processing creates extra income and jobs in the country.
Driver 2: Copper value chain from ore to cable
The copper industry provides the clearest example of this approach. In March 2026, the first stage of a US$2.7 billion project was launched. The project has an annual capacity to process 60 million tonnes of ore and produce around 900,000 tonnes of copper concentrate.
The concentrate will serve as a raw material for subsequent stages. Through projects planned for this year, deep copper processing capacity is expected to reach 240,000 tonnes. Producing cables, wires and electrical equipment from copper will allow the metal to be processed domestically at subsequent stages as well.
The ministry describes the chain as consisting of four links: ore reserves, with processing capacity of 60 million tonnes per year; copper concentrate, at around 900,000 tonnes; deep processing, at 240,000 tonnes; and high-value products such as cables and electrical equipment.
Driver 3: New products and components
The ministry sees the development of new products and the expansion of component and material production in the electrical, mechanical engineering, chemical, pharmaceutical and food industries as another area of growth.
Driver 4: Technology and innovation
To modernise industry technologically, a “Research and Innovation Centre for the Fourth Industrial Revolution” is being established in Tashkent in accordance with Presidential Resolution No. PP-325 of 12 September 2026. It will serve as a modern technology centre for manufacturing enterprises. During its first three years, the centre will be managed by a foreign company with advanced expertise.
Manufacturing companies will be able to develop new products without purchasing expensive equipment and use digital design, prototype production and testing, as well as laboratory testing. They will have access to consultations on international standards, exports and tenders, as well as energy audits aimed at reducing production costs. Investors will receive access to ready-made engineering infrastructure, testing laboratories and qualified specialists, which the ministry expects to shorten the time required to finance technologies and launch production.
Young people and startups will be able to use the centre’s laboratories and receive specialist consultations free of charge, while the best projects will receive funding through the national venture fund. According to the ministry, this should translate into increased availability of high-quality, safe and affordable locally produced goods, new jobs and higher exports under the “Made in Uzbekistan” brand.
Driver 5: Cooperation between large and small businesses
The ministry also sees industrial cooperation as an important source of growth. Linking the demand of large enterprises for components, materials and services with the capabilities of local small and medium-sized businesses will make production chains longer.
Manufacturers that meet requirements for quality, price and supply reliability will be able to strengthen their position in the domestic market and enter the supply chains of international companies, the report says.
Driver 6: Exports and global value chains
To expand exports, the ministry considers it necessary to produce goods in line with international standards, obtain certification, improve logistics and establish long-term cooperation with buyers.
Integration into global value chains, according to the ministry, will allow local enterprises to adopt technologies and management practices, secure stable orders and enter new markets.
Driver 7: Productivity and energy efficiency
Labour productivity and energy efficiency will be particularly important for further growth. Modern equipment, digital management, production automation and workforce training can help reduce production costs. Energy- and water-saving technologies can cut companies’ expenses and, according to the ministry, enable them to increase production amid limited resources.
Driver 8: Regional growth points
New growth opportunities are also emerging at the regional level. Industrial development takes into account the raw material base, labour resources, infrastructure and proximity to markets in each district and city.
State industrial policy will focus on expanding cooperation around existing enterprises, involving local entrepreneurs in production chains and developing products in demand. It will also provide for encouraging private initiative and healthy competition, as well as ensuring the availability of qualified personnel for the sector.
Strategy and law as a foundation
To consolidate the new course, the ministry is developing an industrial strategy through 2035. Under the strategy, sectoral development is expected to be linked to the current state of industries, demand in domestic and external markets, existing infrastructure, as well as investment, exports, energy, transport, workforce training and innovation. For example, when establishing a new enterprise, it is proposed to assess comprehensively the demand for its products, availability of electricity and water, transport costs and staffing needs.
A draft law “On Industry” is also being prepared. It is intended to systematise the main principles of state industrial policy, the responsibilities of relevant authorities and approaches to supporting manufacturers. According to the ministry, this will create a reliable foundation for investment decisions.
The practical results of the reforms for the population, according to the report, should include modern professions, stable jobs, higher incomes and higher-quality products.
