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President Shavkat Mirziyoyev has directed authorities to establish an “Engineering Valley” in Asaka, Andijan region, focused on programming, electronics and electromechanics, as part of a broader push to convert three decades of automotive and engineering experience into domestically developed technologies.
Mirziyoyev made the announcement at a meeting on the socio-economic development of Andijan region, according to presidential spokesperson Sherzod Asadov. The gathering examined business support measures and policies to raise household incomes alongside the new industrial initiative.
Valley targets domestic technology development
The Engineering Valley is intended to strengthen the technological capabilities of the region’s manufacturing sector rather than simply attract assembly operations. Asaka, home to Uzbekistan’s main automotive production facilities, was chosen as the site on the basis of the country’s accumulated industrial expertise. The complex will concentrate on software development, electronics and electromechanical systems, with the stated aim of producing technologies that can be applied across the automotive and engineering industries.
Mirziyoyev argued that Uzbekistan should now leverage its industrial history to build original capabilities. “What matters to us is not the growth figures themselves, but the changes each indicator brings to the everyday lives of families,” he said, signalling that the initiative would be judged by its effect on living standards rather than headline output statistics.
Strong growth, but investment seen as too narrow
Andijan region’s economy expanded by 8.8 percent year-on-year in the first half of 2026. Industrial production rose 9.2 percent, the services sector grew by more than 16 percent, and investment inflows increased by nearly 9 percent over the same period.
Despite those figures, officials at the meeting identified a structural weakness: the $3.5 billion in investment planned for the region this year is insufficiently diversified across countries and sectors. The IT sector in particular is not attracting enough capital to build a strong technological base, even though qualified specialists are available, according to the presidential administration’s account of the discussions.
Since 2016, Andijan has received UZS 20 trillion in budget allocations and a further UZS 90 trillion in bank lending. An additional UZS 6 trillion has been set aside this year for programs aimed at improving living standards.
$7 billion pipeline and 70,000 jobs targeted
Looking ahead, investment projects worth $7 billion are expected to be launched in the near future. Officials said 1,000 hectares of land have been allocated for business projects, through which 70,000 high-paying jobs are to be created. Mirziyoyev called for closer scrutiny of the quality and composition of incoming investment and its tangible impact on the broader economy, rather than a focus on aggregate volume.
The president stressed the need to channel capital into industries built around advanced technologies and high value-added production, pointing to the Engineering Valley as a model for how the region should reorient its industrial base.