Kazakhstan-China Forum Concludes with Nearly $630 Million in Partnership Deals

Kazakhstan is bolstering its economic ties with China, as demonstrated at the III Interregional Forum “Kazakhstan – China” held in Urumqi, the capital of the Xinjiang Uyghur Autonomous Region in northwestern China.

The forum, which took place on Wednesday, focused on vital topics such as trade, economic cooperation, transport, investment, and cultural exchange. Representatives from 17 regions of Kazakhstan, alongside major companies and business circles, joined delegates from 27 Chinese provinces, underscoring the expanding partnership and substantial Chinese investment in Kazakhstan.

Kazakhstan’s Deputy Prime Minister, Serik Zhumangarin, emphasized that China is currently Kazakhstan’s fourth-largest investor.

“All conditions have been created between Kazakhstan and China for intensive interaction,” said Zhumangarin. “There are great opportunities for new investment partnerships.” 

Following the forum, 17 agreements were signed between Kazakh and Chinese companies, totaling $629 million. These agreements are expected to significantly strengthen bilateral economic ties.

Major deals included an agreement between the Almaty region and TBEA PJSC, a Chinese manufacturer of power transformers, for constructing and modernizing ten substations and power lines, as well as establishing an electric equipment production plant. Other agreements included three contracts for sunflower oil supplies and a deal between Qazaq Camel LLP and Xinjang Huaken Dairy Group Co. Ltd for dry camel milk supplies.

The discussions also covered cultural and humanitarian cooperation.

On the same day, the Kazakh delegation attended the opening of the eighth China-Eurasia EXPO in Urumqi, where 42 Kazakh companies showcased their products.

Zhumangarin highlighted that strengthening relations marks a new chapter in the “golden 30th anniversary” of diplomatic ties between China and Kazakhstan. He outlined an ambitious goal to increase mutual trade turnover to $100 billion, reflecting the robust potential of this partnership.

The China-Eurasia EXPO, featuring 1,900 companies and organizations from 50 countries, will run through June 30, providing a global platform for Kazakhstan to showcase its economic potential.

Kazakhstan’s strategic position between China and Europe makes it a key transit hub for international trade, particularly along the Belt and Road Initiative. With a significant border shared with China, Kazakhstan has become a crucial partner in China’s trade network since gaining independence from the Soviet Union in 1991.

The expanding economic cooperation between Kazakhstan and China also indicates broader regional changes. 

The Xinjiang Uyghur Autonomous Region is reopening after stringent pandemic measures, and Kazakhstan is playing a vital role in China’s new strategy for the region.

The region, considered China’s western gateway, is integral to the Belt and Road Initiative, facilitating trade between Europe and Asia. The Freight Rail Logistics Centre in Urumqi, established in 2016, and the Xinjiang Pilot Free Trade Zone, inaugurated in October 2023, have transformed Urumqi into an international logistics hub, enhancing the region’s transit capabilities.