Uzbekistan and Kazakhstan Unveil $1.3 Billion Projects, Set Trade Goal

Uzbekistan and Kazakhstan have announced plans to launch joint projects valued at approximately $1.3 billion (€1.18 billion) and set an ambitious target to increase their annual bilateral trade turnover to $10 billion (€8.6 billion) by the year 2030. The announcements were made during a state visit by Kazakh President Kassym-Jomart Tokayev to Uzbekistan, where he met with President Shavkat Mirziyoyev ahead of the Seventh Consultative Meeting of Heads of State in Tashkent.

During the meeting, President Mirziyoyev emphasized the strengthening of ties between the two nations, declaring, “Our relations have now reached the highest level—that of a strategic partnership and alliance.” President Tokayev echoed this sentiment, stating that Kazakhstan and Uzbekistan are not rivals but rather “strategic partners, reliable allies, walking together along the path of progress and development.”

Highlights of the Joint Projects

The leaders participated in a virtual launch of seven significant projects spanning various sectors including industry, construction, petrochemicals, finance, logistics, and tourism. One of the key initiatives is the establishment of the “Central Asia” International Industrial Cooperation Centre, located near the Atameken (Kazakhstan) and Gulistan (Uzbekistan) border crossing points. This facility will include production sites, storage warehouses, and transport infrastructure, aimed at expediting cargo delivery and lowering logistics costs.

Additional projects include the head office of “Tenge Bank” in Tashkent, the construction of the “Silkway Central Asia” logistics center in the Tashkent region, and the development of residential and hotel complexes in both Uzbekistan and Kazakhstan.

Trade between the two countries has shown promising growth, reaching $4 billion (over €3.4 billion) since the start of 2023. Both governments are working towards their joint goal of $10 billion in trade by 2030, highlighting increased mutual supplies and industrial cooperation.

Focus on Economic Integration and Infrastructure

In line with their economic goals, the nations have prepared an Industrial Cooperation Program valued at over $8 billion (around €6.9 billion), which encompasses projects across various sectors including chemicals, infrastructure, and agro-industry. The discussions also focused on enhancing transport connectivity, with both leaders agreeing to improve transport corridors and border infrastructure.

New routes, such as the Uchkuduq–Kyzylorda corridor, were discussed, along with increasing freight traffic via the Aktau, Kuryk, and Khorgos ports. Energy cooperation remains a strategic aspect of their partnership, particularly in the realms of traditional energy sources and renewable energy initiatives.

Additionally, an agreement on the joint management of transboundary water bodies was signed, underscoring the importance of coordinated water management and environmental protection.

Cultural and Humanitarian Ties

Cultural exchanges have also flourished, with various events such as ballet performances, art exhibitions, and youth festivals drawing public interest and strengthening ties between the two nations. Plans to expand academic exchanges and develop tourism programs were discussed, further deepening collaboration between youth and creative organizations.

A notable moment during the visit was President Mirziyoyev conferring the highest state award of Uzbekistan, the order “Oliy Darajali Dustlik” (“High-ranking Friendship”), upon President Tokayev. This award signifies Uzbekistan’s recognition of Tokayev’s contributions to fostering cooperation between the two states.

The visit concluded with the adoption of a joint statement and the signing of 17 bilateral documents covering diverse areas such as energy, water management, customs coordination, and healthcare. Analysts suggest that the combination of these new projects and long-term agreements reflects the intent of both governments to bolster practical collaboration and sustain trade growth in the coming years.

In parallel, President Mirziyoyev met with Azerbaijani President Ilham Aliyev to discuss enhancing relations between Uzbekistan and Azerbaijan, which have seen a 15 percent increase in trade turnover since the beginning of the year. Joint projects in various sectors, including automotive and energy, are currently underway, further illustrating the regional focus on economic collaboration.