Logistics base boosts Sino-Central Asian connectivity

The first tangible project of the Belt and Road Initiative, the China-Kazakhstan (Lianyungang) Logistics Cooperation Base, was officially inaugurated on May 19,2014.

After more than a decade of operation, the base in eastern China's Jiangsu province has become an international economic platform for warehousing, logistics and trade, serving Central Asian countries and playing a key role in enhancing connectivity between China and Central Asia.

The base was officially inaugurated in the presence of the heads of state of China and Kazakhstan. The site now operates a 220,000-square-meter container yard with 1,763 container berths and a 3.8-kilometer dedicated railway spur, with an annual handling capacity of up to 410,000 20-foot equivalent units, or TEUs, said Zhao Duofa, general manager of China-Kazakhstan (Lianyungang)International Logistics.

As the sole loading and unloading terminal for Lianyungang's international freight trains, the company has launched services along routes connecting China with the five Central Asian countries and Turkiye, Russia, Europe and Mongolia. Zhao added that the China-Kyrgyzstan-Uzbekistan railway has also been smoothly constructed.

"To date, the company has operated more than 8,000 international freight trains. Since Lianyungang launched its international freight train service in 1992, the total number of trains operated has exceeded 18,000," Zhao added.

As the first tangible project to be implemented following the launch of the BRI, the China-Kazakhstan (Lianyungang) Logistics Cooperation Base also embodies the aspirations of Kazakhstan and other Central Asian countries for access to the sea via an eastern route.

Zhao said that, from its initial focus on infrastructure and logistics cooperation the base has expanded collaboration in trade, industry and supply chains. It has evolved from a transshipment station for international freight trains into a comprehensive logistics hub integrating container terminals, end-to-end agency services, warehousing and logistics, and multimodal transport, he said.

The base currently deals with westbound shipments of electronics, machinery parts, daily necessities, used cars and chemical products, as well as eastbound shipments of wheat, ferroalloys and potash fertilizer. It handles more than 50 percent of China's westbound transit cargo.

"More than 80 percent of daily consumer goods imported from China via Kazakhstan, along with key Kazakh exports such as mineral products and grain, are consolidated and distributed through Lianyungang Port, helping to establish a balanced 'round-trip' flow of international freight trains," the general manager said.

Bedelov Azilkhan, deputy general manager of China-Kazakhstan (Lianyungang) International Logistics, said in the past, Kazakhstan's wheat was mainly exported to China and neighboring Central Asian countries. Reaching more distant markets was a major challenge due to long transport routes, lengthy transit times and high costs.

"With the logistics hub in place, Kazakh wheat and other agricultural products can now be transported to China via the China-Europe (Central Asia) Railway Express and, from there, shipped onward to third-party markets," he added.

In the early days, trade was dominated by clothing, toys and daily necessities. Today, the range of goods has expanded to include automobiles, auto parts, home appliances and photovoltaic modules, reflecting the growing integration of China's advanced manufacturing capabilities with markets in Central Asia, Bedelov said.

"An even more noticeable change is that the flow of goods is no longer one-way. Whereas Chinese goods were once the only shipments to Central Asia, agricultural products such as Kazakh wheat, along with mineral products, can now enter China smoothly and be shipped onward to other markets," he said.

In the first half of 2026, rail freight between Kazakhstan and China reached 18.7 million metric tons, up 9 percent year-on-year. Of that total, 11.7 million tons moved from Kazakhstan to China, with Kazakhstan's rail exports to China rising 20 percent to 8.5 million tons. The cargo included ores, grain and other agricultural products, ferrous and non-ferrous metals, petroleum products and other commodities.

Bilateral trade has also continued to expand. According to Kazakhstan's Ministry of Trade and Integration, trade between the two countries reached $32.4 billion in the first seven months of 2026, up 24.1 percent year-on-year.

"The growing two-way flow through Lianyungang is important not simply because more goods are moving in both directions. It shows that the logic of cooperation is evolving from infrastructure connectivity toward productive and supply-chain integration," said Gulnar Shaimergenova, founder and director of the China Studies Center (Kazakhstan).

For Kazakhstan, the "landlocked country plus seaport" model demonstrates that geography does not have to determine economic destiny, she said.

"The traditional disadvantage of being a landlocked country is not simply the absence of a coastline. It is the dependence on other countries' infrastructure, ports and transit decisions. Kazakhstan's response has been to build a diversified logistics network in which we increasingly participate not only as a cargo owner, but also as an infrastructure partner and logistics operator," she added.

Broader transformation

She said Lianyungang is a good microcosm of the broader transformation because the project itself has evolved from a transport facility into a platform connecting logistics, trade, digital services, green technologies and regional supply chains.

"Kazakhstan therefore benefits from what I would call a portfolio of transport corridors," Gulnar said.

"The Middle Corridor (Trans-Caspian International Transport Route)connects us with the Caspian Sea, the South Caucasus, Turkiye and Europe. China-Europe (Central Asia) rail services link Kazakhstan directly with China's transport network. North-South routes provide access to Iran and the Gulf, while new southern routes are expanding the options available to businesses across Central Asia," she added.

The China-Kazakhstan (Lianyungang) Logistics Cooperation Base has gradually evolved from a single logistics hub into a key transport corridor linking China's eastern coast with Central Asia and, ultimately, Europe, said Lu Yang, deputy director of the Institute of Economy and Finance of the School of Marxism at Tsinghua University.

Its development has taken on growing significance for China-Kazakhstan cooperation and for broader connectivity and economic cooperation between China and Central Asia, she said.

Practical model

The base has become a practical model for connecting China's coastal ports with the landlocked countries of Central Asia. By providing access to the sea through China's eastern ports, it helps address the logistical constraints associated with being landlocked and offers a model that other Central Asian countries can draw on, she said.

It has also strengthened connectivity between China and the Central Asian countries, contributing to deeper economic cooperation and the building of a China-Central Asia community with a shared future, Lu added.

"Through land-sea transport corridors, Central Asia is no longer confined to its traditional regional trade networks, but is gaining greater access to global markets and becoming more closely integrated into the global trade system," she said.

Lu pointed out that the value of the base has long extended beyond the basic function of "transporting goods". It is evolving into comprehensive platforms for cooperation, facilitating trade, strengthening industrial and supply chain links, and promoting people-to-people exchanges.

In terms of trade facilitation, the base has promoted practical cooperation between China and Kazakhstan in areas such as customs clearance, inspection and quarantine, and transit regulations. It has also strengthened collaboration at border crossings, streamlined cross-border procedures and accumulated practical experience in the clearance of cross-border cargo, she said.

At the industrial and supply chain level, the Lianyungang base has leveraged its logistics hub function to facilitate the development of warehousing and processing facilities, cross-border distribution networks and trading platforms. Chinese and Central Asian enterprises can connect supply with demand here, promoting the integration of resources, production capacity and markets, Lu said.

In terms of people-to-people exchanges, the project has facilitated the movement of businesspeople, technical personnel and managers between the two countries. As commercial cooperation has expanded, so too have people-to-people interactions, making the base a window through which the two sides can better understand each other, she said.

liujianqiao@chinadaily.cm.cn