Xinjiang Uygur Autonomous Region, located in the far west of China, is rapidly transforming into a dynamic and open area for trade and connectivity. With its strategic location on the ancient Silk Road and its pivotal role in the Belt and Road Initiative, Xinjiang has become a crucial link between Asia and Europe.
Xinjiang: A booming trade hub
Horgos Port, a comprehensive highway and railway port in Xinjiang, has witnessed a surge in commodity car exports in recent months. Customs data reveals a staggering 310 percent year-on-year increase, with 134,000 commodity cars exported through the port in the first seven months of this year alone. This remarkable growth underscores Xinjiang’s emergence from a relatively closed inland region to a vibrant trade gateway.
Zhang Shijun, the Deputy Director of Xinjiang’s Policy Research and Reform Office, emphasizes the region’s increasing engagement with 190 countries and regions worldwide. Xinjiang has played a pivotal role in expanding bilateral international road transport routes, accounting for over one-third of China’s total. Furthermore, the establishment of 26 international air routes connecting to 19 countries has enhanced its connectivity on a global scale.
Building the “Golden Corridor”
In alignment with the 10th anniversary of the Belt and Road Initiative, Xinjiang is making strides to create a “golden corridor” connecting Asia and Europe. The Urumqi International Land Port, supported by the Kashgar and Horgos economic development zones, serves as a leading force in this endeavor. The port has successfully completed the construction of several functional zones, including the Urumqi Comprehensive Bonded Zone, China-Europe Freight Train (Urumqi) Consolidation Center, and Urumqi Multimodal Transport Center.
Lu Shan, Deputy General Manager of Urumqi International Land Port Co., notes the remarkable efficiency of the logistics network. Trains departing from the Urumqi consolidation center can reach destinations such as Kazakhstan in two days, Russia in eight days, and the Netherlands in 16 days. This impressive connectivity has resulted in the port connecting with 19 countries through China-Europe (Central Asia) freight train routes, transporting over 200 types of cargo.
Kashgar: A hub of growth
Kashgar, an integral part of the Silk Road Economic Belt core area, has experienced significant growth in both border trade and processing trade. Customs statistics reveal that the total value of imports and exports in Kashgar reached 42 billion yuan ($5.76 billion) in the first seven months of this year, marking a year-on-year increase of 127 percent.
This growth can be attributed to the implementation of the “integrated customs clearance” model and coordinated pre-booking customs clearance, which have significantly improved business flow efficiency, as explained by Nurjamal Halip, an official at Kashgar customs. Additionally, the Kashgar Comprehensive Bonded Zone, part of the Kashgar economic development zone, offers various preferential policies that attract enterprises, fostering growth in the region.
Kashgar’s ambitious goals for industrial development focus on the lithium battery power energy industry. Feng Qiang, Deputy Director of the Logistics Industry Development Service Center of the Kashgar Economic Development Zone, aims to establish the “lithium battery capital of western China” by 2025. This involves attracting over 60 lithium battery-related enterprises with a combined investment exceeding 20 billion yuan and an annual production capacity surpassing 50 gigawatt-hours, generating an output value exceeding 40 billion yuan.
Promising trade growth
Xinjiang’s trade indicators have displayed rapid growth in the current year, signaling overall stability and positive development. He Guoqing, Deputy Director of Xinjiang’s Department of Commerce, highlights a remarkable 59 percent growth in the region’s total import and export value during the first seven months of this year.
In addition to implementing eight measures to stabilize foreign trade development, Xinjiang is actively formulating plans to promote stable and high-quality foreign trade development. These plans aim to reduce the cost of imports and exports while providing institutional support for bilateral cooperation.
Summary: Xinjiang is an open and dynamic trade hub
Xinjiang’s transformation from a closed inland region to an open and dynamic trade hub is evident in its recent achievements. The region’s strategic location and pivotal role in the Belt and Road Initiative have contributed to its remarkable growth in trade and connectivity.
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