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Middle Corridor offers enormous business opportunities for American firms – USACC executive director (Exclusive interview)

Transport Materials 23 September 2025 12:25 (UTC +04:00)
Middle Corridor offers enormous business opportunities for American firms – USACC executive director (Exclusive interview)
Laman Zeynalova
Laman Zeynalova
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BAKU, Azerbaijan, September 23. Over the last decade, the Middle Corridor has rapidly developed into a region with a well-established network of logistics facilities, pipelines, fiber-optics, and services, offering enormous trade and business opportunities for international companies, particularly American firms, Natig Bakhishov, Executive Director of the United States-Azerbaijan Chamber of Commerce (USACC), said in an exclusive interview with Trend, as the U.S. Business Delegation to the Middle Corridor Region, spanning Azerbaijan, Georgia, and Kazakhstan, has concluded its mission.

The mission covering the period from September 4 to September 11, was co-organized by the United States-Azerbaijan Chamber of Commerce (USACC), the America-Georgia Business Council, and the American Chamber of Commerce in Kazakhstan, bringing together leading U.S. public and private sector representatives.

“During the recent U.S. Business Delegation to the region, which included both public and private sector representatives, we were able to see firsthand the opportunities this region offers. It was especially encouraging to witness the progress on both sides of the Caspian Sea – in Alat, and Aktau. The ambitious plans by Mangistau authorities to turn Aktau into a logistics and tourism hub are mirrored by similar efforts on the Azerbaijani side,” he said.

Bakhishov noted that looking ahead, logistics and value-added services will be the top priorities for the Middle Corridor.

“It is encouraging to see how economies along the route are adapting to new realities by becoming more agile and business-friendly. During our mission, we visited the free economic zones in Alat and Tbilisi, both of which already host international businesses with strong export potential. The Alat Free Economic Zone alone is home to more than 20 international companies. We see the greatest potential for American firms with Eurasia-centric supply chains to benefit by establishing operations in these zones,” the USACC executive director added.

He pointed out that as a key enabler of the Middle Corridor is the transit capacity of Azerbaijan, Kazakhstan, and Turkmenistan across the Caspian Sea.

“It is encouraging to see these littoral states investing in expanding port infrastructure and, just as importantly, working toward harmonizing operations among themselves.

Alongside port infrastructure, Caspian ferry fleets also play a critical role in enabling the Corridor. The Baku Shipyard deserves recognition here, as it significantly contributes to the region’s commercial fleet independence. During our mission, Kazakhstani officials shared their plans to expand ferry capacity -- an important signal of the growing demand for cargo transit through the region,” he said.

Observations regarding hard infrastructure

Bakhishov noted that this mission was unique in that it allowed the delegation to experience real-world operations and services along the Corridor.

“It was encouraging to see the progress at ports on both shores of the Caspian Sea. As transit cargo continues to grow rapidly, ports and logistics facilities are expanding to keep pace. At the Port of Baku, we learned about future expansion and optimization plans that will help speed up cargo processing.

Of course, these developments are not without challenges. One of the most pressing is the declining water level of the Caspian Sea. In Aktau, for example, we observed dredging operations underway to maintain normal port functions,” he said.

The USACC executive director said that when it comes to the “hardware” of the Corridor, among others, the Azerbaijan-made ferries stand out as the backbone of Caspian transport.

“They are equipped with state-of-the-art technologies that allow for precise route and time calculations. Still, as freight forwarders pointed out, departure schedules remain unpredictable and improved scheduling would make a significant difference for businesses. Our delegation also traveled overland from Baku to Tbilisi by ground transportation, which gave us firsthand insight into road conditions. Overall, the highways are built to high standards, which supports both passenger and cargo movement. Still, some bottlenecks exist – particularly where highways pass directly through settlements, slowing the flow of traffic.

Finally, while in Azerbaijan we met with the leadership of the State Customs Committee. It was encouraging to hear about plans for infrastructure upgrades, including the creation of a joint border crossing with Georgia. Projects like these require a multi-pillar approach among neighboring countries, including policy harmonization and the adoption of cutting-edge technologies. We believe trusted American technologies can and should play a role in these efforts,” Bakhishov added.

Enhancing the Middle Corridor’s competitiveness

The USACC executive director pointed out that the Middle Corridor is no longer just an alternative or “Plan B” route.

“Recent geopolitical shifts in Eastern Europe, especially Russia’s war in Ukraine, disrupted supply chains and forced thousands of American and European businesses to exit the Russian market. This showed how vulnerable global trade can be to geopolitical shocks. In this context, the Middle Corridor is emerging as a vital trade artery across Eurasia, connecting East and West through Central Asia and the Caucasus to Europe, while offering secure and predictable services.

Of course, the Corridor’s multi-modal nature poses challenges. But with continued investment in “hardware” - regional infrastructure, and “software” – policy coordination and service harmonization, the Corridor can become fully competitive with existing routes. Last year alone, digitalization and harmonization efforts reduced border processing times by 30%, which shows the tangible impact of reforms,” he said.

Bakhishov believes that for the Corridor to become a long-term destination for global business, each economy along the route needs to build value-added capacity into supply chains.

“By adding value to the cargo that passes through, countries can transform the Corridor into a central pillar of international trade.

Equally important is investing in people. Enhancing the local labor market and developing human capital in engineering, high technologies, services, and beyond will give businesses the confidence to treat the region not just as a transit zone, but as a place to grow and invest for the long term,” he added.

Opportunities for partnership with U.S. companies in developing the Corridor

“Several companies in the mission identified potential business partners, and we’re keeping communication open with delegation members to better understand the value this trip brought to their businesses.

Importantly, our mission was joined by the U.S. International Development Finance Corporation (DFC) and the U.S. Trade and Development Agency (USTDA). Both play a crucial role in facilitating trade and business between the United States and the Middle Corridor. DFC has been active in Georgia for years, with a diverse portfolio that ranges from FedEx facilities to hotels and entertainment projects. As DFC Managing Director Kenneth Angel emphasized, the DFC is committed to working with the private sector to advance U.S. economic partnerships in the Middle Corridor Region. There are enormous opportunities for investment in critical infrastructure, including ports, transportation, and logistics,” said the USACC executive director.

He went on highlighting also the USTDA’s role.

“The agency is instrumental in supporting major infrastructure projects through grants for feasibility studies and technical assistance. This creates new opportunities for local stakeholders to partner with American companies and service providers,” said Bakhishov.

Future business missions

“We are actively considering new missions, as these delegations are invaluable in helping companies better understand business opportunities and connect with the right partners. Azerbaijan will be hosting the World Telecommunication Development Conference this year, which presents an excellent platform to link businesses with new prospects. I believe this landmark event could also serve as the basis for another U.S. business delegation. Our goal is to ensure that American technologies play a meaningful role in the future technological development of Azerbaijan and the wider region,” he said.

Looking ahead, Bakhishov also mentioned strong opportunities for American businesses as the TRIPP initiative begins implementation.

“We will be closely evaluating emerging opportunities within TRIPP, and it is very possible that a dedicated trade mission will be organized around this concept,” he added.

Next steps for strengthening cooperation along the Middle Corridor

The USACC executive director believes that capacity upgrades, digital customs reform, new logistics hubs, energy integration, and governance harmonization can together transform the Middle Corridor into a reliable, competitive, and strategic trade route linking Central Asia, the South Caucasus, and Europe in the coming years.

“In my view, the most immediate step is accelerating multimodal transport capacity through upgrades in rail connections and complementary routes, as well as modernizing terminals to expand throughput and reduce transit times. Caspian port facilities at Alat, Aktau, and other nodes will also need to increase ferry frequency and enhance handling capacity.

Equally important is the harmonization and digitalization of customs and border procedures. Interoperable “single window” systems across the Corridor would significantly cut clearance times. A good example is the Trans-Caspian Customs Transit Portal, launched by Azerbaijan’s State Customs Committee, which now includes Azerbaijan, Georgia, Uzbekistan, Kazakhstan, Kyrgyzstan, and Tajikistan. This multilateral mechanism gives shippers confidence and improves predictability, especially for time-sensitive cargo,” he said.

Finally, Bakhishov pointed out that the long-term success of the Corridor will depend on interoperability among logistics hubs and inland free economic zones.

“Harmonized procedures and integrated services are key to reducing friction between modes of transport and ensuring seamless operations across the region,” he concluded.

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