Georgia courts Xiaomi for local assembly plant to boost regional exports

Georgian authorities have invited Chinese tech giant Xiaomi to consider establishing a local assembly facility, as Tbilisi seeks to position itself as a regional manufacturing and logistics hub.

The proposal was put forward during a visit to China by Mariam Kvirishvili, who met with Xiaomi executive Simon Du to discuss potential areas of cooperation, Georgian media reported.

According to Kvirishvili, the initiative centers on setting up a CKD (Complete Knock-Down) facility in Georgia, where imported components would be assembled locally. She said this model would allow Xiaomi to benefit from preferential trade regimes and use Georgia as a base to export products to regional markets.

The minister also proposed positioning Georgia as a logistics hub linking Europe and Asia, citing its strategic location at the crossroads of key trade routes. She noted that such a setup could facilitate efficient distribution to the European Union, the Black Sea region, the South Caucasus, the Persian Gulf and Central Asia.

Officials highlighted that Georgia and China maintain a strategic partnership, alongside a free trade agreement and visa-free travel regime, which together create favourable conditions for Chinese investment. Relatively low tax rates were also cited as an additional incentive.

As part of the visit, the Georgian delegation toured Xiaomi’s production facilities and reviewed its assembly processes, as both sides explored the practical aspects of potential cooperation.

By Sabina Mammadli