China–Kyrgyzstan–Uzbekistan Railway Project Officially Launched at the End of 2024
At the end of 2024, construction of the China–Kyrgyzstan–Uzbekistan (CKU) railway corridor was officially inaugurated with a ceremonial groundbreaking.
The railway, which will connect the three countries, will stretch a total of 486 kilometers. The route begins in Kashgar, China, extending 164 km through Chinese territory, continues through Kyrgyzstan, where 312 km of the track will be laid, and finally crosses into Uzbekistan with a 10 km segment, which will connect to the country’s existing rail network.
The total project cost, as defined by the investment agreement, is estimated at $4.7 billion, though projections suggest it may rise to $8 billion. The joint venture structure gives China a 51% stake, with Kyrgyzstan and Uzbekistan each holding 24.5%. To fund the project, Chinese banks will provide $2.35 billion in loans, while the remaining $2.35 billion will be contributed as follows: China – $1.18 billion, Uzbekistan – $573 million, and Kyrgyzstan – $573 million.
The tightening of international sanctions against Russia has led several global companies to avoid using Russian territory as a transit route. In this context, China sees an opportunity to diversify its trade routes, reducing dependency not only on Russian corridors but also on Kazakhstan.
Economically, the CKU railway is highly attractive—it is expected to shorten the transport route from China to Europe and the Middle East by 900 km, reducing delivery times by 8 to 9 days.
Despite the official launch, the project faces political, financial, and technical challenges. In Kyrgyzstan, anti-Chinese sentiment poses a potential risk to progress, with only 19% of the population supporting Chinese investment. On the financial front, since the railway passes through three countries, the burden of financing is shared, raising concerns that Kyrgyzstan may not generate enough revenue from transit fees to offset its investment.
According to preliminary estimates, construction is expected to be completed by 2032.
