Kyrgyzstan is also working on other railways. Construction takes place in the area around the large Issyk-Kul lake. The country could connect this railway, which also links up to the capital city Bishkek and neighbouring Kazakhstan, to the CKU line.

“In the future, under favourable conditions, it is planned to extend it to Kara-Keche, and then also to Makmal, guaranteeing an additional rail connection between the north and south”, said Zhaparov. Makmal will be a key location on the CKU line, since China’s standard 1,435-millimetre gauge and the 1,520-millimetre gauge will meet there. Kyrgyzstan has already finished part of the railway to Kara-Keche.

The railway will have significant benefits to Kyrgyzstan and Uzbekistan. Both countries are landlocked and stand to profit from diversified trade routes. There are concerns, however, about the railway’s financial costs and benefits. Particularly Kyrgyzstan will need to take on significant debts. Meanwhile, the railway is expected to have limited capacity in the mountainous terrain.

As a result, a new effort to boost and streamline transportation along the Middle Corridor’s southern route is underway. ETRIA can count on sympathy from more than just its members: the railway administrations of China, Kyrgyzstan, Tajikistan, Uzbekistan, Georgia, Türkiye, Austria and Azerbaijan all acknowledged the need for and supported the idea of improving the southern route. They also named the route, which goes through Kyrgyzstan, Tajikistan, Uzbekistan, Turkmenistan, Azerbaijan, Georgia and Türkiye, the ‘Eurasian Transport Route’ (ETR).

“The purpose of establishing the association is to attract extra volumes of the transit cargo, develop integrated logistics products, create a unified technology for transportation processes, implement an efficient tariff policy, and optimise costs along the Eurasian Transport Route”, explains Secretary General of ETRIA, Rashad Majidov.

What’s on the agenda?

In 2026, ETRIA plans to assess current intermodal transportation along the route. It hopes to identify and eliminate bottlenecks and implement IT solutions and digital platforms for transportation management, scheduling, and manage resources and priorities.

ETRIA hopes to attract more members and absorb more countries into the Eurasian intermodal transport ecosystem. That includes countries on the trans-Afghan corridor, China and countries in the CEE region. In the long-term, the association strives to become “an enabler of increased trade and economic prosperity and a driver of growth in the countries benefiting from the ETR.”

Azerbaijan has assumed leadership over ETRIA, which the country sees as a success for its strategy to attract transit freight. It strengthens the position of ADY as one of the main operators in the region, Azerbaijani media write. That turns the country into a “strategic dispatch center where key decisions are made on the organisation of transit [along the ETR]”.

In turn, ADY cultivates a capacity to influence tariff policies, standardise logistics procedures, develop digital platforms for transport coordination and attract international investments in rail projects.

Data from the Observatory of Economic Complexity showed a whopping 122% year-on-year rise in Tajik exports to China in May 2025, reaching 42,2 million dollars. In the same month, Chinese exports to Tajikistan also kept increasing by a further 10.5% compared to the same period last year, for a value of over 311 million euros. In other words, Chinese exports to Tajikistan remain much higher, but the growth rate of Tajik exports to China is outstanding.

Not only the CKU

“The meeting discussed the issue of the People’s Republic of China’s assistance to the further development of the multimodal corridor China – Tajikistan – Uzbekistan – Turkmenistan – Iran – Turkey – Europe and the accession of the Republic of Tajikistan to the project for the construction of the railway China – Kyrgyzstan – Uzbekistan”, the Tajik ministry pointed out.

Rail in Tajikistan

Tajikistan can currently count on a limited railway network, mostly used for freight services. With less than 700 kilometres of line, most of which are single-track and not electrified, there is also the gauge problem. Tajikistan, as many former Soviet countries, built their railways with the broad gauge (1,520 mm), following the Russian model. On the other hand, both China and Europe use the standard gauge (1,435 mm). Connecting Tajikistan to the CKU, which will be built in standard gauge, might open up many possibilities for the central Asian country. Other than facilitating and enhancing trade with China, Tajikistan could become a key part of the connection with Europe via Central Asia.

The new rail plans were revealed in the Kyrgyz government’s 2030 national development programme. Kyrgyzstan plans to build a railway between Batken, a minor city in the country’s south, to Kokand, a relatively large city in Uzbekistan’s densely populated Ferghana valley.

According to the government programme, the railway should help improve transport infrastructure, trade and job creation. Even though Kyrgyzstan provides no official such explanation, it seems likely that the country hopes to boost agricultural exports from the peripheral Batken region.

The town is located on the very southern edge of the fertile Ferghana valley. That valley mostly belongs to Uzbekistan. Kokand, located in said valley, is a major logistics node in Uzbekistan. Various railways and roads come together in the city – allowing for freight to be transported in multiple directions.

The CKU railway

The CKU rail line will stretch for over 450 kilometres, from Kashgar, in China, through the Torugart Pass on the China-Kyrgyzstan border to Andijan, in eastern Uzbekistan. Construction of the new infrastructure reportedly commenced in October, with the three countries involved establishing a joint venture.

However, one question mark remains concerning the costs of such a project, with estimations swinging between 4.7 and eight billion US dollars. What is known is that China will be the one doing the heavy (financial) lifting, with 51 per cent of the funding coming from Beijing. The rest will be equally split between Kyrgyzstan and Uzbekistan.

It remains a bit unclear how much the approximately 450-kilometre long rail line is going to cost. Most detailed accounts of the project talk about 4,7 billion dollars, whereas other mention figures up to 8 billion. Both are rather large sums of money for the countries in the region, save China. In 2022, the Prime Minister of Kyrgyzstan predicted that the country would make 200 million dollars from the line on an annual basis, and that the line would pay itself back eventually.

Kyrgyzstan willing to pay a lot

Despite that prediction, doubts remain about the profitability of the route. It would have to compete with already existing rail infrastructure in Kazakhstan, which goes through much more forgiving terrain. It is unclear how the CKU line can hope to be more attractive to transit traffic. To pay itself back, it will need to have relatively high track access charges, while its capacity will likely be lower than other lines in the region.

Nevertheless, it is mostly Kyrgyzstan that is willing to pay a high price to be connected up to global infrastructure networks and mitigate its landlocked status. The Kyrgyzstan-based joint venture is taking a 2,33 billion dollar loan from China, which the Central Asian country insists will not have an impact on its already high foreign debt, a sensitive topic in the country.

Attracting international interest

International joint efforts to develop rail freight traffic along the Middle Corridor have been increasing in recent times. Azerbaijan and Georgia, for example, created a joint venture for the management of the BTK line. Another important piece of the Middle Corridor will be the China-Kyrgyzstan-Uzbekistan railway (CKU), for which the three countries involved recently found an agreement. In addition, China and Kazakhstan have tightened their relationship in an effort to improve rail connectivity between the two.

The Middle Corridor is also enticing some interest from European players. One year ago, for example, Austrian operator Rail Cargo Group added destinations in Kazakhstan, Turkmenistan and Uzbekistan to its network. In June this year, moreover, Finnish company Nurminen Logistics started discussions with the Kazakh government to find solutions to improve the Middle Corridor infrastructure. Finally, a few days ago, German operator Rhenus Logistics announced plans to build a container terminal in the Kazakh port city of Aktau.

European Silk Road Summit 2024

The Middle Corridor will be one of the key Silk Road topics we will discuss at the European Silk Road Summit 2024, taking place in Vienna on 27-28 November.

Registrations for the yearly event are already open, while the programme, which this year highlights the fast-recovering China-Europe rail market, is shaping up.

Land-locked Kyrgyzstan has lauded the line as improving its international connectivity, easing access to foreign markets overland. President of double-landlocked Uzbekistan, Shavkat Mirziyoyev, provided a similar comment: “This road will allow our countries to enter the wide markets of South Asia and the Middle East through the promising Trans-Afghan Corridor”, he said, referring to efforts to bridge Afghanistan by rail and reach the Indian Ocean.

The financing hurdle

The agreement comes after the three countries long struggled with funding for the route. Especially the expensive Kyrgyz section, through mountainous terrain, proved to be an obstacle. In April, a Kyrgyz government official said that the country would need eight billion dollars.

Kyrgyzstan would have to fund its own part, but it has a large national debt and is legally barred from drawing too much money from a single international investor. It can legally borrow up to 45 per cent of its external debt from a single foreign source. The country already owes 42 per cent of its debt to China alone, and it would likely have to borrow from China if the country were to borrow money for the CKU line, which it is reluctant to do. It seems that the countries have found a solution, but they did not specify how the money is going to be acquired.

Bypassing Bishkek

The 523-kilometre rail line will start in Kashgar, in China’s Xinjiang region. From there, it will cross Kyrgyzstan’s southern border and continue to a gold processing plant in Makmal. Then, it will pass through the major city of Jalal-Abad and end in Uzbekistan’s fertile Ferghana valley, in the city of Andijan.

China, Uzbekistan and Kyrgyzstan reportedly also quarrelled over the route that the line should take. Perhaps understandably, Kyrgyzstan appealed for the route to make a stop in its northern capital city and financial centre Bishkek. However, it seems that the Kyrgyz had to concede on this issue.

Joint venture

The operation and maintenance of the line was a less controversial issue. Earlier this year, Uzbekistan proposed that the three countries establish a joint venture to that end. Kyrgyzstan and China were quick to respond positively.

The shape or form that the joint venture will take remains unclear for the time being, as the involved parties have made no comment on the matter.

Also read:

• Construction on CKU line to start in October 2024
• After Germany, China is also planning to build a transport hub in Uzbekistan
• Kyrgyzstan struggles to find money for CKU line construction

In April, president Zhaparov announced that “all procedures have been completed. This year, we are awaiting the start of the construction of the CKU line”, indicating that the three countries had resolved issues surrounding financing and the route of the line.

Funding

A rail line through Kyrgyzstan is bound to be a costly affair. The CKU line is projected to need more than 50 tunnels and 90 bridges through the mountainous terrain. Meanwhile, Kyrgyzstan has a large national debt and is legally barred from drawing too much money from a single international investor. It can legally borrow up to 45 per cent of its external debt from a single foreign source.

The country already owes 42 per cent of its debt to China alone, and it would likely have to borrow from China if the country were to borrow money for the CKU line, which it is reluctant to do.

A Kyrgyz economist told RFE/RL that “without the support of large international and regional investors, as well as possible financial assistance from international financial organisations, independent financing for the Kyrgyz Republic may prove to be an impossible task.”

How much will it cost?

A feasibility study completed in the summer of 2023 indicated that the total cost of the project would amount to 4,7 billion dollars. However, a Kyrgyz politician in April stated that the Kyrgyz section of the CKU line would cost a grand total of 8 billion dollars, much higher than previously estimated.

The Uzbek deputy transport minister has not provided yet another figure for the total cost of the entire project: 5,1 billion dollars. The various estimates do not provide much clarity as to how much the countries will need to spend. However, it is clear that total expenditures will run into the billions of dollars.

Also read:

• Uzbekistan wants a joint venture with China and Kyrgyzstan for CKU line
• After Germany, China is also planning to build a transport hub in Uzbekistan
• Kyrgyzstan struggles to find money for CKU line construction

Funding for the Kyrgyz part of the route has been a major obstacle for its construction. The total cost of the rail line through Kyrgyzstan’s mountainous terrain remained unclear for a long time. The path of the rail line also was a point of contention. Kyrgyzstan insisted that the CKU line pass through its major urban centres, whereas China and Uzbekistan preferred a quicker route that bypasses them.

It now seems that these issues have been solved. “All procedures have been completed. This year, we are awaiting the start of the construction of the CKU line,” Zhaparov said. A feasibility study is underway for the realisation of the line.

Kyrgyz financing

While Kyrgyzstan has now named a sum to be spent on the line, it remains unclear where the money is going to come from. The country has a large national debt and is legally barred from drawing too much money from a single international investor. It can legally borrow up to 45 per cent of its external debt from a single foreign source. The country already owes 42 per cent of its debt to China alone, and it would likely have to borrow from China if the country were to borrow money for the CKU line, which it is reluctant to do.

Regardless, Zhaparov expressed optimism about the meaning of the line for Kyrgyzstan. “It will give us access to the so-called Middle Corridor, which includes Kyrgyzstan, Uzbekistan, Turkmenistan and the Caspian Sea, to Europe and the global network of rail and maritime routes. Kyrgyzstan will finally lose its status as a dead-end country without access to the sea,” he said.

Also read:

• Uzbekistan wants a joint venture with China and Kyrgyzstan for CKU line
• Kyrgyzstan struggles to find money for CKU line construction
• Kyrgyzstan Railways deny CKU line being indefinitely postponed