China-Kyrgyzstan-Uzbekistan Railway - The Times Of Central Asia

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Civil Aviation

China Launches Beijing-Bishkek Flights as Kyrgyzstan-China Links Grow

Air China, China’s flag carrier, has launched scheduled passenger flights between Beijing and Bishkek, adding another direct link as Kyrgyzstan and China expand economic and transport ties. According to OJSC Airports of Kyrgyzstan, the new Beijing-Bishkek-Beijing service will operate three times a week. Flights are scheduled for Mondays and Fridays, with an additional service on Sundays. Airbus A321 aircraft will operate the route. The airport operator described the launch as a milestone for Kyrgyzstan’s civil aviation sector, saying the arrival of one of Asia’s largest airlines reflects the country’s growing appeal to international carriers and opens new opportunities for travel between Kyrgyzstan and China. The inaugural flight coincided with the 17th meeting of the Kyrgyz-Chinese Intergovernmental Commission on Trade and Economic Cooperation, held in Bishkek on July 17. The meeting was co-chaired by Erlist Akunbekov, Deputy Chairman of Kyrgyzstan’s Cabinet of Ministers, and Ling Ji, China’s Vice Minister of Commerce and Deputy China International Trade Representative. Discussions covered trade and transport, including logistics. Energy and agriculture were also on the agenda, as were industry and finance. Akunbekov said bilateral economic cooperation had entered a new phase, pointing to several major infrastructure projects. "We have begun implementing large-scale projects such as the China-Kyrgyzstan-Uzbekistan railway. The third border crossing, Bedel, has opened, and construction has begun on the Barskoon-Bedel-Uchturfan-Aksu highway," he said. Construction of the Barskoon-Bedel highway began in August 2025. The road will form part of a future transport corridor linking Kyrgyzstan’s Issyk-Kul Region with Aksu Prefecture in China’s Xinjiang Uygur Autonomous Region via the Bedel Pass. Once completed, the route is expected to shorten the distance between Aksu and Kyrgyzstan by around 500 kilometers and reduce freight transit times by at least 12 hours. The new Beijing route comes amid an expansion of air services between the two countries. As previously reported by The Times of Central Asia, Aero Nomad Airlines will launch direct flights between Bishkek and Urumqi, the capital of Xinjiang, on August 3. The new air services add to expanding road links and the China-Kyrgyzstan-Uzbekistan railway project. Officials expect the additional connections to support trade and tourism while making business travel easier. According to Chinese Ambassador to Kyrgyzstan Liu Jiangping, bilateral trade reached a record $27.2 billion in 2025, up 20% from the previous year.

Civil Aviation

Kyrgyzstan to Launch Direct Flight Between Bishkek and Urumqi

Kyrgyzstan’s Aero Nomad Airlines will launch a new direct route between Bishkek and Urumqi, the capital of China’s Xinjiang Uygur Autonomous Region, further expanding air connectivity between the two neighboring countries. According to the airline, the inaugural flight is scheduled for August 3 and will be operated using an Airbus A320 aircraft. The airline said the route would support trade and investment and encourage tourism and cultural exchanges between Kyrgyzstan and China. Xinjiang already has established air connections with Kyrgyzstan. In November 2025, China Southern Airlines resumed direct flights between Urumqi and Osh, Kyrgyzstan’s second-largest city. Earlier this year, Airports of Kyrgyzstan JSC also announced the launch of a new route between Osh and Kashgar, another major city in Xinjiang, to be operated by Chengdu Airlines. Xinjiang serves as Kyrgyzstan’s principal gateway to China. Most bilateral trade passes through the region via the Torugart and Irkeshtam border crossings, the two fully operational road links between the countries. According to Chinese Ambassador to Kyrgyzstan Liu Jiangping, bilateral trade reached a record $27.2 billion in 2025, representing a 20% increase compared with the previous year. Growing commercial ties have also been supported by institutional cooperation. In June 2024, the Kyrgyzstan-China Trade and Economic Cooperation Center opened in Urumqi, Xinjiang, to facilitate business contacts, promote investment opportunities, and support joint projects between companies from both countries. Kashgar is the Chinese starting point of the China-Kyrgyzstan-Uzbekistan railway, one of the region’s largest infrastructure projects. The planned line would connect western China with Central Asia. The Bishkek-Urumqi service adds another transport link between Kyrgyzstan and China as bilateral trade grows and work continues on the railway.

Transport and Logistics

Uzbekistan’s Logistics Push Aims to Turn Transit Growth into Revenue

Tashkent is trying to turn a fast rise in transit cargo into a larger role in Eurasian trade. President Shavkat Mirziyoyev reviewed proposals on July 1 to expand logistics centers, modernize border infrastructure, digitalize warehouse and customs systems, and attract private investment into transport hubs. Transit cargo through Uzbekistan reached 15.3 million tons in 2025, up 54% from 2021. Yet Uzbekistan's share of China-Europe transit freight remains only 1-2%. Annual China-Europe trade is estimated at $800 billion, while freight traffic reaches 120-150 million tons. Officials estimate that an extra 15-20 million tons of international transit cargo could bring $400-600 million in added revenue, attract $3 billion of investment into logistics centers and terminals, and create 50,000 permanent jobs. The logistics push comes as Uzbekistan’s trade base becomes larger and more exposed to transport costs. Uzbekistan's foreign trade turnover reached $81.2 billion in 2025, up 20.7% from 2024, with exports at $33.8 billion and imports at $47.4 billion. The 2026 figures are more uneven. In January-May, turnover rose 3.7% year on year to $32.8 billion, but imports climbed 20.8% while exports fell 15.5%. Gold sales drove much of the export decline. Excluding gold, goods exports grew 29.4%, which gives Tashkent a clear reason to cut freight costs, speed up customs clearance, and expand container capacity. Uzbekistan already has about 4,000 kilometers of international transit corridors and a 4,700-kilometer railway network, but officials say the system remains too thin for the cargo volumes Tashkent wants to attract. Modern transport and logistics centers and dry ports are being developed in Tashkent, Navoi, and Namangan, while Navoi Airport serves Eurasian cargo routes. The July 1 proposals show how much still needs to change. Uzbekistan has 27 logistics centers that meet international standards, with total capacity of 27.2 million tons, but only one is in the highest category. Class A automated warehouses meet only 10-15% of demand. Officials also cited weak capacity at many border checkpoints, refrigerated and customs warehouse shortages, low containerization, and poor digital links. The new plan would specialize six areas as logistics zones. Khanabad would handle China-linked routes toward the Caspian, Europe, Afghanistan, Pakistan, and Iran. Angren, Yangiyul, and Akhangaran would distribute transit and foreign trade cargo. Alat would support Middle Corridor routes, and Termez would focus on Pakistan via Afghanistan. Entrepreneurs who build logistics centers in these locations would be offered 50 hectares of land in each area. The government plans to allocate $200 million a year in concessional and low-interest credit lines, with the budget covering external infrastructure. Projects also include customs terminals and parking in Qibray and Termez, a rail border checkpoint in Khanabad, Yangiyul station expansion, and a Class A center in Akhangaran. Digital systems form another part of the package. The proposals call for terminal and warehouse management systems linked to the E-logistika platform. They also include online monitoring, license plate recognition, electronic vehicle registration, and one-stop border clearance. Customs duties and certification rules may be eased for imported warehouse equipment, cargo-handling machinery, spare parts, and...

Rail Logistics

Kyrgyzstan to Build Railway Logistics Center with EBRD and EU Support

Kyrgyzstan’s national railway company, Kyrgyz Temir Jolu, the European Bank for Reconstruction and Development (EBRD), and the European Union have launched a project to build a modern railway logistics center at Ivanovka station, around 45 kilometers east of Bishkek. The parties agreed on the project during a July 1 meeting, with the EBRD committing grant support for the preparation of a feasibility study. According to Kyrgyz Temir Jolu, the planned logistics hub is expected to make freight transport more efficient and expand Kyrgyzstan’s transit capacity. The company said it would also improve conditions for international transport links. Ivanovka station is located on the railway line connecting Bishkek with Balykchy, a city on the western edge of Lake Issyk-Kul. Kyrgyzstan’s railway network remains relatively limited and largely based on Soviet-era infrastructure. Its main northern rail corridor currently runs from the Kazakh border through Bishkek to Balykchy. In June, Kyrgyzstan began construction of a new railway designed to extend rail access along the northern shore of Lake Issyk-Kul and strengthen Balykchy’s role as a transport hub. The new Balykchy-Tamchy-Cholpon-Ata railway will stretch 86 kilometers and pass through the village of Tamchy, home to Issyk-Kul International Airport. The line is expected to become part of a multimodal transport and logistics hub on the shore of Lake Issyk-Kul. The project adds to a wider series of railway and logistics initiatives centered on Balykchy. The city sits on a strategic corridor linking Bishkek with Naryn and the Torugart Pass. In May, Balykchy opened the new international trade and logistics center Altyn Logistic, aimed at improving transport links between China, Central Asia, and wider post-Soviet markets. Balykchy is also the starting point for the Balykchy-Kochkor-Kara-Keche railway, a 186-kilometer line under construction since 2022. That line is expected to connect the northern rail network with Kochkor and the Kara-Keche coal deposit in Naryn Region, one of the main coal supply sources for Bishkek’s thermal power plant. Officials in Kyrgyzstan have also linked the Balykchy-Kochkor-Kara-Keche line to plans to integrate it with the China-Kyrgyzstan-Uzbekistan railway, which is under construction. If completed, those projects would significantly raise Balykchy’s strategic importance as a railway junction connecting northern Kyrgyzstan with routes through Naryn, Jalal-Abad, and onward to Uzbekistan. Kyrgyzstan’s railway sector has shown steady growth in recent years. Official data show rail freight volumes reached 10 million tons in 2025, up 36% from around 7 million tons in 2021. Passenger traffic over the same period rose from 255,000 to 432,000, an increase of about 70%.

CKU Railway

Kyrgyzstan Approves Chinese Loan for CKU Railway

Kyrgyzstan’s parliament has approved in the first reading a bill ratifying a preferential loan agreement with the Export-Import Bank of China to help finance the country’s share in the construction of the China-Kyrgyzstan-Uzbekistan (CKU) railway, one of Central Asia’s largest transport infrastructure projects. The CKU railway is a flagship regional connectivity initiative designed to improve trade routes between China, Central Asia, and beyond. Construction officially began on December 27, 2024, in Kyrgyzstan’s Jalal-Abad region. Once completed, the 523-kilometer railway will connect Kashgar in China with Torugart, Makmal, and Jalal-Abad in Kyrgyzstan before continuing to Andijan in Uzbekistan. The route is expected to carry up to 15 million tons of cargo annually. The project is particularly significant because neither Kyrgyzstan nor Uzbekistan currently has a direct rail connection with China. At present, Kazakhstan is the only Central Asian country with such a link. Construction is being managed by China-Kyrgyzstan-Uzbekistan Railway Company LLC, a joint venture established by the three participating countries. The railway is expected to cost $4.7 billion. About half will be financed through a 35-year Chinese loan to the joint project company, which will be responsible for repayment. The remaining $2.3 billion will be contributed as equity, with China holding 51%, while Kyrgyzstan and Uzbekistan will each contribute 24.5%. According to Kyrgyzstan’s Deputy Minister of Transport and Communications Almaz Turgunbaev, Kyrgyzstan will use a $304.5 million preferential loan from the Export-Import Bank of China to finance half of its contribution to the joint company, which will oversee the railway project. Kyrgyzstan’s total share in the project amounts to roughly $609 million, with half funded directly by the state budget and the rest through borrowed funds. The loan has a term of 25 years, including a five-year grace period, with an annual interest rate of 1.5%. According to Kyrgyzstan's Finance Ministry, the grant element of the loan stands at 35.46%. Officials said the funds will be used exclusively to finance Kyrgyzstan’s equity contribution to the joint railway company and cover construction costs. As of January 31, 2026, Kyrgyzstan’s debt to Eximbank stood at about $1.5 billion, making China the country’s largest external creditor. The Kyrgyzstan section of the railway will stretch more than 304 kilometers and is considered the most technically challenging part of the project. It will include 50 bridges and 29 tunnels with a combined length of about 120 kilometers, meaning around 40% of the route inside Kyrgyzstan will consist of tunnels and bridges. The railway is expected to improve regional logistics by creating a shorter trade route between China and Europe via Central Asia, bypassing existing northern corridors.

Tashkent International Investment Forum

Rail Reform and Regional Corridors Put Uzbekistan at the Center of Central Asia’s Logistics Map

At the Tashkent International Investment Forum, officials and transport executives discussed railway reform and new corridor projects, with private investment as a main point. World Bank Senior Transport Specialist Mansur Bustoni described rail as “essential” for Uzbekistan, which depends on land routes for access to seaports and export markets. The World Bank wants to help turn Uzbekistan Railways from a state monopoly into “a commercial bankable enterprise,” he told the forum. Uzbekistan Railways has about 4,700 route kilometers, according to Bustoni. The system carries around 60 million tons of freight and 15 million passengers a year and contributes about 8% of GDP. Much of that freight is linked to exports. The World Bank is supporting 44 activities across seven reform programs. Bustoni listed legal separation inside Uzbekistan Railways, financial reform, operational efficiency, and investment planning among the main areas. Each activity has been ranked by priority, he added. Tariff reform was one of Bustoni’s main topics. He called the proposed change “not a price hike.” The aim is to replace ad hoc increases with rules-based pricing. Cost-reflective tariffs would give the railway company more predictable revenue and reduce state cross-subsidies. Bustoni also cited capital-market plans. Uzbekistan’s infrastructure company is part of the National Investment Fund of the Republic of Uzbekistan (UzNIF), which he described as a $2.4 billion fund managed by Franklin Templeton, with a planned dual listing in London and Tashkent. The railway sector recorded a roughly $188 million net loss in 2023, reached break-even in 2024, and is expected to post a positive $138 million result in 2025, he added. [caption id="attachment_50833" align="aligncenter" width="2560"] Image: TCA[/caption] Transport Corridor Europe-Caucasus-Asia (TRACECA) Secretary General Jasurbek Choriyev linked corridor development to Uzbekistan’s national priorities. He cited double-digit growth in passenger air traffic over five years and 15 million tourists last year, attributing the figures to national data and analysts at Airports Council International and the World Bank. Uzbekistan’s aircraft fleet has expanded to more than 100 planes from about 40 to 50 in recent years. A target of 188 aircraft by 2030 could be reached earlier, Choriyev noted. Uzbek airlines are also carrying more freight on the China-Europe route, driven in part by e-commerce. Choriyev described rail as the backbone of national connectivity, carrying about 90% of internal and external traffic. He pointed to the China-Kyrgyzstan-Uzbekistan-Iran railway and gave 2030 as the expected completion date, with 2028 or 2029 possible. He also cited the Trans-Afghan corridor as a route to Pakistan. About 52% of Uzbekistan’s rail network is electrified, with a target of 70% by 2030. Innokenty Ivanov, a principal consultant at Freshfields, said Uzbekistan’s railway reform is creating legal routes for private investment through market mechanisms and public-private partnerships. The reform covers the reorganization of Uzbekistan Railways as a holding company and a legal framework for private investment and independent operation. Ivanov compared the process with Germany, where railway reform led to long-term contracts between the government and the infrastructure company. Financing tied to measurable targets gives investors more certainty...