Economic Cooperation - The Times Of Central Asia

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borders

Uzbekistan Reopens Termez-Hairaton Passenger Crossing with Afghanistan

Uzbekistan has reopened the Termez-Hairaton passenger crossing, restoring direct movement between Uzbekistan and Afghanistan, the country’s Chamber of Commerce and Industry has announced via its official Telegram channel. While visa requirements remain in effect, the decision marks a significant step toward improving cross-border mobility and trade. Passenger movement across the strategic bridge had been suspended since 2021, complicating travel for Uzbek entrepreneurs. To reach Mazar-i-Sharif, just 75 kilometers from the Ayritom checkpoint, businesspeople were previously forced to take an all-day detour through Tajikistan. The resumption of direct access eliminates a major logistical barrier for exporters and traders. Officials say the reopening is expected to bring substantial benefits for Uzbek companies exporting goods to Afghanistan. Bilateral trade has been growing steadily, and the authorities project that the restored route will help push exports to $2.5 billion by 2026. Uzbekistan and Afghanistan have also been working to deepen broader economic cooperation. During a visit to Kabul in August of last year, Uzbek Prime Minister Abdulla Aripov held talks with Afghan officials on expanding trade, strengthening energy collaboration, and partnering on key projects in copper, iron, oil, and gas. At that time, both sides agreed that bilateral trade could reach $1 billion in 2024, with the potential to rise to $3 billion in the near future.

Trade

New York Mayor Eric Adams Discusses Expanding Economic Ties During Visit to Uzbekistan

A delegation led by New York City Mayor Eric Adams met with the Chamber of Commerce and Industry of Uzbekistan on 19 November to explore new avenues for economic and business cooperation. The session brought together Adviser to the Chairman Umid Safarov, prominent Uzbek entrepreneurs and businessassociation representatives. Discussions focused on strengthening trade and investment links between Uzbekistan and New York. Safarov proposed collaboration with the New York Stock Exchange to help prepare Uzbek companies for U.S. capitalmarket access, creating business schools and accelerator programmes in partnership with leading American universities, and opening a joint vocationaltraining college in Tashkent. Kamolat Mirzaaliyeva, head of Uzbekistan’s Small Business Association, sought support in building ties between Uzbek and New York smallbusiness networks and expanding exports of Uzbek products to the U.S. market. Other entrepreneurs at the meeting raised proposals to increase agricultural exports, develop biochemical production and support innovative projects. Officials described the talks as constructive and expect them to lift bilateral business cooperation to a new level. Mayor Adams also met with Tashkent Mayor Shavkat Umurzoqov. The two agreed to begin drafting a partnership agreement between New York and Tashkent to cover longterm cooperation in urban development, culture, innovation and economic projects. The visit comes amid renewed interest in the U.S.-Uzbekistan economic corridor and at a time when Adams’ international engagements are under scrutiny.

Regional integration

Central Asian Leaders Welcome Azerbaijan’s Accession at Tashkent Summit

The leaders of Central Asia convened in Tashkent on November 16 for a high-level Consultative Meeting, marking a significant step toward deeper regional integration. The summit welcomed Azerbaijan as a full participant and endorsed a roadmap to formalize cooperation in trade, infrastructure, security, and water management. Hosted by Uzbekistan’s President Shavkat Mirziyoyev, the summit brought together the presidents of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Azerbaijan, alongside a United Nations representative. Ahead of the meeting, Tashkent’s central streets were adorned with national flags and floral installations, underscoring the political and symbolic significance the Uzbek government placed on the event. Mirziyoyev hailed Azerbaijan’s accession as “a truly historic day,” as the country became a full member of the Consultative Meeting of the Heads of State of Central Asia. He proposed forming a “Community of Central Asia,” establishing a rotating Secretariat, appointing special presidential envoys for coordination, and creating a Council of Elders to promote cultural and humanitarian dialogue. [caption id="attachment_39410" align="aligncenter" width="1280"] Image: president.uz[/caption] Regional Economic and Connectivity Agenda Economic cooperation dominated the multilateral agenda. Leaders agreed to develop a Comprehensive Regional Program for Trade and Economic Cooperation through 2035 and to draft a Declaration on a Common Investment Space. “In essence, we will build a strong bridge between Central Asia and the South Caucasus and pave the way for the formation of a single space of cooperation, which will undoubtedly strengthen the strategic interconnectedness and stability of both regions,” said Mirziyoyev. Kazakhstan’s President Kassym-Jomart Tokayev also highlighted deepening bilateral ties with Uzbekistan. Trade between the two countries has reached $4 billion in 2025, with plans to increase it to $10 billion through expanded industrial cooperation and import substitution. Over 6,500 joint enterprises now operate between the two countries, with new projects worth more than $8 billion under development. Several initiatives, such as the Silkway Central Asia logistics center, new industrial facilities, and cultural programs, were launched in Tashkent during the visit. [caption id="attachment_39411" align="aligncenter" width="1280"] Image: president.uz[/caption] Tajikistan’s President Emomali Rahmon met with Mirziyoyev on the sidelines of the summit. The two leaders noted the steady growth in political dialogue and agreed to expand cooperation in energy, industry, agriculture, and innovation. Bilateral trade surpassed $440 million in the first nine months of 2025. They also discussed regional security, including collaboration against terrorism, extremism, cybercrime, and drug trafficking. Security, Water, and Cultural Cooperation To advance regional integration, Tashkent also hosted the first meeting of the Council of Ministers of Trade and Investment of Central Asian countries and Azerbaijan on November 13. Ministers discussed boosting trade, investment, and industrial cooperation, with the goal of increasing regional trade turnover to $20 billion. Plans were also made to develop joint production platforms under a “Made in Central Asia” label. Uzbekistan’s trade with Central Asian partners rose from $3.2 billion in 2017 to $6.9 billion in 2024, while trade with Azerbaijan has grown by 13% this year. Connectivity remained a focal point. Participants reaffirmed their commitment to the China-Kyrgyzstan-Uzbekistan railway and the Trans-Afghan corridor. Azerbaijan’s President...

Bilateral Trade

Kazakhstan and Kyrgyzstan Aim to Boost Trade to $3 Billion by 2030

Kazakhstan and Kyrgyzstan have reaffirmed their commitment to increasing bilateral trade to $3 billion annually by 2030. This objective was emphasized during the 13th meeting of the Kazakh-Kyrgyz Intergovernmental Council, held on November 13 in Astana and co-chaired by Kazakhstan’s Prime Minister Olzhas Bektenov and Adylbek Kasymaliev, Chairman of the Cabinet of Ministers of Kyrgyzstan. The meeting covered a broad spectrum of cooperation, including trade, investment, water and energy management, as well as cultural and humanitarian initiatives. Kasymaliev highlighted recent progress, noting that bilateral trade reached $1.7 billion in the first nine months of 2025, a 15% increase compared to the same period in 2024. Direct investment from Kazakhstan to Kyrgyzstan totaled nearly $64 million in the first half of 2025. “This demonstrates the Kazakh business community’s trust in Kyrgyzstan and the broad opportunities for new projects,” said Kasymaliev. Key Infrastructure Projects and Trade Hubs The Council identified priority areas to strengthen cooperation. Chief among them is the construction of an industrial, trade, and logistics complex near the Karasu and Ak-Tilek road checkpoints at the border. This facility is expected to become a major regional hub for cargo consolidation, processing, and distribution, advancing industrial integration between the two economies. Another key project is the establishment of a wholesale storage and distribution center for fruits and vegetables in Kazakhstan’s Almaty region. This facility aims to secure uninterrupted agricultural trade between the two countries. Bilateral trade in agricultural products surged by 42% in the first eight months of 2025, reaching $326 million. Over 80% of that trade volume comprised exports from Kazakhstan. Energy Cooperation and Border Infrastructure The sides also discussed potential supplies of Kazakh oil and motor fuel to Kyrgyzstan. The latter consumes about 1.6 million tons of motor fuel annually, with 93% imported from Russia. Fuel prices in Kyrgyzstan have climbed since mid-2025, driven by higher wholesale costs in Russia, linked to reduced refining capacity, damage from Ukrainian drone attacks, and sanctions-related difficulties in acquiring technological equipment. Kazakhstan and Kyrgyzstan stressed the need to complete the ongoing reconstruction of three key border checkpoints, Kichi-Kapka-Besagash, Ak-Tilek-Karasuu and Karkyra-Kegen-which are expected to significantly facilitate cross-border trade. Tourism and Cultural Cooperation The two countries are also prioritizing mountain tourism. Plans include reviving tourist routes to Khan Tengri Peak, a destination located on the border and shared by both states, offering mutual opportunities to boost tourism-related revenues.

Uzbekistan-U.S. Relations

Uzbekistan and U.S. to Create Joint Business and Investment Council

Uzbekistan has announced the establishment of the Uzbekistan-U.S. Business and Investment Council, a new institutional platform aimed at deepening trade, investment, and commercial cooperation between the two countries. The initiative was formalized by a presidential decree signed by President Shavkat Mirziyoyev on November 12. The council will be jointly chaired by the Head of the Presidential Administration of Uzbekistan and a representative appointed by the President of the United States. It follows agreements reached during President Mirziyoyev’s official visit to Washington from November 4–6, held within the framework of the “C5+1” summit. The council’s primary objective is to coordinate the development and implementation of strategic business initiatives and major investment and trade projects, while ensuring continuous monitoring of their progress. It will also work to attract new foreign investment through the creation of a dedicated investment fund, with participation expected from institutions including the U.S. International Development Finance Corporation (DFC), the European Bank for Reconstruction and Development (EBRD), and the Asian Development Bank (ADB). Uzbekistan will also expand cooperation in the IT sector by promoting the products and services of companies based in its national IT Park. Broader plans include diversifying the country’s investment portfolio and foreign currency reserves. To further strengthen diplomatic and economic engagement, a new position titled Adviser-Envoy of the Presidential Administration in the United States will be established at Uzbekistan’s Embassy in Washington beginning January 1, 2026. The envoy will oversee strategic investment initiatives and coordinate the work of the Business and Investment Council. The Foreign Ministry has also been instructed to expand Uzbekistan’s diplomatic presence across the United States, with preparations underway to open new consulates in Philadelphia, Chicago, Orlando, and Seattle, cities with significant Uzbek diaspora communities. Oversight of the council’s operations and implementation of the decree will be led by Saida Mirziyoyeva, Head of the Presidential Administration, who will serve as the Uzbek co-chair of the new council. The initiative forms part of Uzbekistan’s broader strategy to deepen cooperation with the United States, expand economic engagement, and build stronger institutional ties ahead of the planned visa-free regime for U.S. citizens in 2026. Uzbekistan currently maintains an embassy in Washington and a Consulate General in New York. As previously reported by The Times of Central Asia, Uzbekistan will introduce a visa-free regime for U.S. citizens starting January 1, 2026, allowing stays of up to 30 days. The change is intended to broaden engagement between the two countries.

Economic Cooperation

Tajikistan and the U.S. Sign Agreements Worth Over $3.2 Billion

On the sidelines of the second Central Asia-U.S. Summit (C5+1) held in Washington, Tajikistan signed a series of agreements with American companies totaling more than $3.2 billion. The deals span the aviation, digital technology, artificial intelligence, energy, and manufacturing sectors. Landmark Agreement with Boeing The largest deal involves Tajik airline Somon Air, which plans to purchase 14 Boeing aircraft and aviation systems valued at $3.2 billion. The U.S. State Department described the agreement as a milestone that will “strengthen confidence in American aerospace technology” and noted it as the most significant aviation contract ever signed between the two countries. The second largest agreement was concluded with U.S. based Transparent Earth. The $32.5 million deal includes remote sensing technologies and technical assistance to improve efficiency in Tajikistan’s mining and agricultural sectors. In the digital sphere, Tajikistan reached an agreement with Starlink to expand satellite internet access. The initiative aims to enhance connectivity in the country’s remote mountainous. regions, facilitating digital inclusion and expanding online services. Artificial Intelligence, Infrastructure, and Industry A separate set of agreements focuses on artificial intelligence. U.S. tech firm Perplexity AI and Tajik startup zypl.ai signed a landmark agreement to develop the world’s first AI-based agent browser tailored for government use. According to the developers, this innovation is designed to boost the efficiency of public administration and solidify Tajikistan’s emerging role in digital governance. Additionally, SuperMicro, Cerebris, and zypl.ai will collaborate on the development of AI-powered data centers. To support this infrastructure, Tajikistan plans to build 1 GW of hydroelectric capacity, laying the groundwork for the country to evolve into a regional IT hub. In the manufacturing sector, Coca-Cola will invest $9 million in expanding its Dushanbe plant, boosting production and strengthening its market position in Tajikistan. According to the U.S. State Department, these agreements are expected to generate thousands of jobs and stimulate “billions of dollars in U.S. exports.” A New Chapter in Tajik-U.S. Relations On November 6, President Emomali Rahmon met with U.S. President Donald Trump in Washington. The two leaders discussed cooperation in critical minerals, digital technology, and aviation modernization, with a particular focus on boosting trade and investment. More than 70 U.S. affiliated companies are currently operating in Tajikistan. The summit also featured a C5+1 business conference, during which Tajikistan showcased its investment projects and export potential to an international audience. Following the forum, President Trump described the gathering as the start of “a wonderful new relationship between the United States and the countries of Central Asia,” and reiterated the strategic importance of the region, stating the U.S. is ready to “actively engage in Eurasia”.