Exports - The Times Of Central Asia

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public transport

Kazakhstan’s Falcon EuroBus to Supply 600 Electric Buses to Pakistan

Falcon EuroBus, founded in 2018 in Almaty, has signed an agreement with Pakistan to supply 600 electric buses. The deal is one of the largest export contracts for Kazakhstan’s engineering industry in the public transport sector. Falcon EuroBus produces a range of buses that meet European quality standards. The company’s current production capacity stands at 1,500 buses per year, with plans to expand it to 3,000 units. Uzbekistan and Mongolia have already expressed interest in its products, and Pakistan has now joined that list. A memorandum on the supply of electric buses was signed between Falcon EuroBus and Pakistani carrier OGCC International at the Kazakhstan–Pakistan business forum in Islamabad, held during the state visit of President Kassym-Jomart Tokayev. The first deliveries are scheduled to begin in April. The contract covers 600 electric buses and is valued at $108 million. By 2027–2028, the company plans to increase exports to Pakistan to 2,000 buses, including vehicles designed for transporting schoolchildren. “We carry out the full production cycle for buses. For us, this is an entry into a large market. In addition to the current contract, agreements have been reached on the prospects of supplying 2,000 school buses,” said Murat Adilkhanov, chairman of the board of directors of Falcon EuroBus. Kazakhstan’s Ministry of Trade and Integration described the agreement as strategically important for promoting the Made in Kazakhstan brand and expanding exports of high-tech products. A total of 32 commercial documents were signed at the forum. Samruk-Kazyna JSC and Pakistan’s Fauji Group agreed to establish a joint investment platform. Kazakhstan Temir Zholy and Pakistan’s National Logistics Corporation reached an agreement on cooperation in multimodal transport. Kazposhta signed memoranda with Pakistan Post and TCS Private Limited. The Aktau Seaport and the Port of Karachi also agreed to expand cooperation. The Times of Central Asia previously reported that more than 171,000 vehicles were produced in Kazakhstan in 2025, a record for the industry. Output of commercial vehicles, including buses, reached 12,200 units, up 8% year on year.

Copper

Kazakhstan Reshapes Copper Export Flows Amid Rising Global Demand

As global demand for copper continues to increase, driven by energy transition and the digital economy, Kazakhstan, a major global producer, is not only increasing its output but also significantly reshaping its export geography. Analysts at Energyprom.kz have examined the current shifts in the sector and the evolving landscape of Kazakhstan’s copper exports. With its substantial reserves and a developed metallurgy sector, Kazakhstan is well positioned to benefit from this strategic opportunity. According to preliminary data from the National Statistics Bureau, the country produced 471,000 tons of refined copper in 2025, an increase of 7,100 tons, or 1.5%, from 2024’s 463,900 tons. This suggests a gradual stabilization of the industry following previous fluctuations. Production trends over recent years have been inconsistent. In 2018, Kazakhstan produced 442,600 tons of refined copper. Output rose 7.7% to 476,500 tons in 2019 and grew modestly in 2020 to 482,900 tons (+1.3%). However, production dropped sharply in 2021 to 403,300 tons, a decline of 16.5%, due to major repairs and upgrades at key processing facilities, including a furnace overhaul at the Balkhash Copper Smelter operated by Kazakhmys Smelting LLP, and disruptions caused by the Covid-19 pandemic. By 2024, output had rebounded to 474,900 tons, up 17.8% from the 2021 low, signaling the industry’s return to pre-crisis levels. Despite global demand, Kazakhstan’s total exports of refined copper declined in 2025. However, the structure of those exports shifted notably. Deliveries to Turkey rose from 142,200 to 164,000 tons, an increase of 21,800 tons, or 15.3%. Turkey’s share of Kazakhstan’s copper exports rose from 32.5% to 40.9%, making it the country’s second-largest export destination. Combined, China and Turkey accounted for about 90% of Kazakhstan’s copper exports from January to November 2025, indicating a still high level of market concentration. However, exports to other countries grew 4.4 times from 9,200 tons to 40,100 tons, raising their share from 2.1% to 10%. This points to early signs of diversification. These shifts in Kazakhstan’s export strategy coincide with major developments in global demand. According to a forecast by S&P Global, global copper consumption is projected to grow from 27.3 million tons in 2024 to 42.3 million tons by 2040, an increase of 15 million tons, or approximately 55%. The primary drivers include electric vehicles, renewable energy development, power grid upgrades, artificial intelligence, data centers, and rising defense sector needs. By 2040, copper use in the energy transition sector is expected to more than double from 7.6 million tons in 2024 to 15.6 million tons. Copper demand for AI and data centers is forecast to rise from 1 million to 2.5 million tons. Even traditional sectors like construction and mechanical engineering will grow, projected to increase from 17.8 million to 23.3 million tons. China will remain the world’s largest consumer of refined copper. According to Fitch Solutions, Chinese demand is expected to rise from 15.9 million tons in 2023 to 18.9 million tons by 2028, an increase of 19%, or more than 3 million tons. This would allow China to maintain a...

Export

Kazakhstan Targets Top Three Global Rank in Sunflower Oil Exports by 2028

Kazakhstan is aiming to become one of the world’s top three exporters of sunflower oil and raise its total exports of oil and fat products to $1 billion by 2028, according to the Ministry of Trade and Integration. Russia remains the global leader in sunflower oil exports, having shipped 4.4 million tons last year. In comparison, Kazakhstan achieved record results in 2025, exporting over 523,400 tons of sunflower oil between January and October, 2.4 times more than its domestic sales. These exports generated $532 million in revenue, placing Kazakhstan among the top ten sunflower oil exporters globally. To further increase output and climb into the top three, the government is shifting from fragmented support measures to a coordinated industry strategy, focused on building integrated export chains. The first meeting of the Export Headquarters for the Promotion of Non-Resource Exports in 2026 was held yesterday in Astana, chaired by Vice Minister of Trade and Integration Aidar Abildabekov. Officials discussed new strategies for expanding agricultural exports and overcoming systemic barriers faced by domestic producers in foreign markets. In 2025, a roadmap for the development of the oil and fat industry for 2026–2028 was finalized. It included an assessment of over 30 enterprises engaged in oilseed cultivation and processing in the northern, eastern, and southeastern regions, including the Abai, East Kazakhstan, Akmola, Zhetysu, and Almaty regions. The roadmap outlines concrete targets to improve processing capacity utilization, broaden export destinations, and position Kazakhstan among the top three global sunflower oil exporters by 2028. Key challenges addressed include rail cargo prioritization, phytosanitary and veterinary controls, registration of Kazakh firms in Chinese trade registries, reimbursement of export costs, and access to financial instruments for state support. Yadykar Ibragimov, a representative of the National Association of Oilseed Processors, emphasized that the roadmap provides a strategic foundation for industry growth. As previously reported by The Times of Central Asia, Kazakhstan significantly increased its sunflower oil exports to Afghanistan as early as 2023.

Trade

Uzbekistan Signals Possible Retaliation Over Increased Trade Costs in Tajikistan

Uzbekistan may introduce reciprocal measures in response to trade barriers impacting its exports to Tajikistan, Deputy Prime Minister Jamshid Khodjaev announced on January 17 during a meeting of entrepreneurs, ambassadors, and government officials in Tashkent. Khodjaev highlighted challenges faced by Uzbek exporters, particularly in the construction materials sector, despite full compliance with required documentation. “We have problems related to Tajikistan. We export products to this market, but even when all documents are complete, our goods are cleared under a so-called ‘reserve’ procedure,” he said. “As a result, the price of our products in that market rises by about 15%.” Meeting participants reported that additional charges imposed at Tajik customs are inflating the cost of Uzbek construction materials and reducing competitiveness. Khodjaev warned that if such restrictions are not lifted, Uzbekistan may respond with similar trade measures. The issue was also raised by representatives of German construction materials giant Knauf. The company’s commercial director noted that exporters face similar obstacles not only in Tajikistan but also in Turkmenistan and parts of the Caucasus region. In Tajikistan’s case, the “reserve” customs clearance procedure was cited as a key driver of increased costs. “This is pushing the price of our products in the Tajik market up by as much as 15%,” the representative said. Entrepreneurs stated that combined logistics and customs costs for shipments to Tajikistan have surged from approximately $2,000 to $12,000. Despite multiple appeals to Tajik authorities, they said no resolution has been achieved, and the elevated costs are undermining export volumes. “If they impose duties, we can do the same,” Khodjaev stated. “Our customs officials will talk to their counterparts. If this practice continues, we will take response measures. Our ambassador should clearly convey this signal.” Despite the ongoing friction, trade between Uzbekistan and Tajikistan surpassed $700 million in 2024, nearly three times higher than in previous years. Both governments have indicated they are exploring new logistics corridors and simplified customs procedures to deepen bilateral economic ties.

Electricity

Kazakhstan Aims to Eliminate Energy Deficit and Begin Electricity Exports by 2027

Kazakhstan is on track to eliminate its domestic electricity deficit within the next year and transition from import reliance to surplus. According to projections by the Ministry of Energy, the country will fully meet internal demand by the end of the first quarter of 2027, and by 2029, it expects to maintain a stable surplus in both electricity and regulating capacity, laying the groundwork for future exports. Energy Minister Yerlan Akkenzhenov announced the plan during a meeting on the development of the electric power industry. At the close of 2025, Kazakhstan’s electricity generation totaled 123.1 billion kWh, while consumption reached 124.6 billion kWh, resulting in a deficit of over 1 billion kWh. However, this shortfall was less than half the 2 billion kWh gap recorded at the end of 2024, which was offset by imports from Russia, Uzbekistan, and Kyrgyzstan. Installed generation capacity increased over the year from 25.3 to 26.7 GW. While coal-fired power plants continue to dominate, accounting for 51.4% of output, the shares of gas (25.6%) and renewable energy (13.5%) are steadily growing. The Energy Ministry credits market liberalization for helping stabilize the power system. Over the past two years, nearly $1.8 billion in investment, mainly for capital repairs and modernization, has flowed into the sector. As a result, the number of technological violations has dropped by 27%, and nine combined heat and power (CHP) plants have exited the so-called “red zone.” Akkenzhenov noted that generating companies’ owners did not receive dividends, with all profits reinvested into asset renewal. This marks a strategic pivot from short-term profitability to long-term system reliability. Looking ahead to 2035, Kazakhstan plans to add over 26 GW in new generating capacity, including nuclear power. Simultaneously, the government is prioritizing upgrades to existing coal-fired plants using clean coal technologies. Key infrastructure projects include the 2,640 MW Ekibastuz GRES-3 station, a new 700 MW facility in Kurchatov, and CHP plants in Kokshetau, Semey, and Ust-Kamenogorsk. Contractors have been selected, and implementation is already underway. Despite this progress, systemic risks remain. Prime Minister Olzhas Bektenov has strongly criticized delays in the execution of energy projects. Nuclear power development has emerged as a distinct strategic priority. Kazakhstan plans to construct at least three nuclear power plants. Work on the first began last summer in partnership with Russia’s Rosatom, while two more are expected to be built with the involvement of the China National Nuclear Corporation (CNNC). President Kassym-Jomart Tokayev has described the development of nuclear energy as correcting a “historical absurdity.” Kazakhstan, one of the world’s leading uranium producers and exporters, has yet to use this resource to support its own energy needs.

Fishing Industry

Kazakhstan’s Fish Production Continues Upward Trend

Kazakhstan’s fishing industry continues to show steady growth, reinforcing its role as a key contributor to economic development, job creation, and food security. According to the Ministry of Agriculture, Kazakhstan produced 76,800 tons of fish between January and November 2025, marking a 10% increase compared to the same period in 2024. Of this, 38,500 tons were sourced from natural water bodies, also a 10% rise, while aquaculture accounted for 20,900 tons, reflecting a 22% year-on-year increase. The country currently operates 72 fish processing plants with a combined annual capacity of around 120,000 tons. Of these, 20 facilities are certified to export to the European Union. Kazakhstan exports fish products to 21 countries, including Germany, the Netherlands, Russia, and China. In 2024, Kazakhstan exported 23,400 tons of fish products valued at $74.7 million. Data for 2025 is not yet available. During the first 11 months of 2025, the country produced 59,400 tons of processed fish products. This was supported by state-backed measures, including a 70% reduction in VAT and preferential loans at 5% annual interest, aimed at expanding the fish processing sector. Investment in the industry also continues to grow. Between 2021 and 2024, Kazakhstan implemented 87 aquaculture projects totaling 21.4 billion tenge (USD 41.9 million). An additional 4.6 billion tenge (USD 9 million) was invested in fisheries development during the first 11 months of 2025. One of the key projects under development is the modernization of the Atyrau Sturgeon Farm, which aims to increase the annual production of sturgeon fry from 5 million to 7.5 million. In 2025, 21.92 million juveniles of valuable fish species, including sturgeon, were released into natural and artificial water bodies across the country. With ongoing modernization of state-run hatcheries, total production capacity is expected to rise significantly from 18.4 million to 80.5 million fry per year. Kazakhstan’s fishing sector has entered a stage of sustainable growth. Increased government support, rising investment, and infrastructure modernization are laying a strong foundation for further expansion in fish production and processing, while also contributing to the conservation of aquatic ecosystems and improving access to high-quality fish products for the population.