BAKU, Azerbaijan, November 1. The role of China in Uzbekistan’s economy is rapidly evolving. Against the backdrop of accelerated modernization, Uzbekistan views Beijing not just as its largest trading partner, but as a key source of technology and capital. China is now involved in virtually all strategically important sectors - from energy and industry to transport, digitalization, and agriculture.
Over the past five years, trade between the two countries has nearly doubled, rising from $6.4 billion in 2020 to $13.1 billion in 2024. The portfolio of joint projects exceeds $60 billion, and China accounts for about one-third of all foreign investments in Uzbekistan. This confirms that Beijing has become a major driver of the country’s economic growth.
A landmark development was the shift to a qualitatively new format of financial cooperation. On October 30, 2025, the National Bank for Foreign Economic Activity of Uzbekistan and the Export-Import Bank of China signed a strategic agreement at the Financial Street Forum in Beijing. The document provides for the expansion of credit lines, settlements in national currencies, and financing of large-scale projects in green energy, metallurgy, transport, and services. This strengthens Uzbekistan as a key center of regional development and underscores China’s transition from a financial investor to a long-term strategic partner involved in building the country’s sustainable economic infrastructure.
The total amount of credit resources mobilized has already exceeded $1.7 billion and is directed toward the development of key sectors - energy, transport, telecommunications, healthcare, education, water management, and industry, as well as the support of small and medium-sized businesses.
Energy remains a core area of Chinese investment. CNPC’s direct investments exceed $5 billion, including the development of gas-condensate fields, construction of underground storage facilities, and training of skilled personnel. At the same time, major renewable energy projects are underway: solar power plants with a total capacity of around 800 MW are being built in Kashkadarya and Bukhara, while the modernization of hydro facilities and the introduction of “smart” generation technologies are expected to reduce CO₂ emissions by millions of tons annually. In this way, China acts not only as an investor but also as a technological partner, facilitating Uzbekistan’s transition to green energy and reducing reliance on traditional generation.
Chinese involvement in transport projects also reflects Beijing’s evolving role. The construction of the “China–Kyrgyzstan–Uzbekistan” railway will nearly halve the delivery time of goods between East Asia and Europe, turning Uzbekistan into a key regional transit hub. Chinese investment in transport infrastructure not only accelerates logistics but also creates opportunities for industrial growth and regional development.
In industry, China operates as a technological partner. Joint ventures in the Navoi, Jizzakh, and Yangiyer free economic zones produce electronics, auto components, and building materials. The BYD electric vehicle project, with an annual production capacity of up to 300,000 units, positions Uzbekistan as a hub of green automotive manufacturing. Huawei and ZTE are implementing 5G networks and “smart city” systems, while Chinese technologies in agriculture, such as drip irrigation and product processing, increase production efficiency.
Gradually, China ceases to be merely a source of capital and becomes a strategic partner engaged in building Uzbekistan’s technological, industrial, and logistical base. More than 30,000 jobs have been created in joint ventures, demand for construction and transport services has grown, and export potential and tax revenues have increased.
At the same time, challenges remain. Imports from China significantly exceed exports to China - $16 billion versus $2 billion in 2024 - creating dependence on foreign technology and equipment. Economists emphasize the importance of developing localization, building domestic production chains, and strengthening local expertise to ensure that Chinese investments serve as a tool for sustainable growth rather than just a source of capital.
From a geopolitical perspective, China strengthens Uzbekistan’s position as a key participant in the Belt and Road Initiative, while Tashkent maintains a multi-vector foreign economic policy, simultaneously developing relations with Russia, Turkey, and the EU. Unlike other countries in the region, where Chinese investments are often limited to energy and infrastructure, Uzbekistan uses the partnership to diversify its economy - from transport and energy to IT and agro-industry.
According to forecasts, the total volume of Chinese investment could exceed $50 billion by 2030, enabling Uzbekistan to strengthen its industrial and logistics potential and approach its target GDP of $200 billion.
China in Uzbekistan has ceased to be just the largest trading partner - today it functions as a strategic driver of economic growth. Beijing’s investments and technologies span energy, industry, transport, digitalization, and agriculture, creating jobs, strengthening infrastructure, and enhancing the country’s export potential. Unlike other countries in the region, where Chinese projects are often limited to specific sectors, Uzbekistan leverages this partnership for comprehensive economic development, technology integration, and the formation of its own production base. China’s role continues to evolve - from investor to partner influencing the strategic directions of growth and modernization across the country.