ASTANA, Kazakhstan, July 24. The negative effect of sanctions on trade routes passing through Russia has led to increased demand in Kazakhstan for alternative shipping routes, such as via the Trans-Caspian International Transport Route (TITR, or Middle Corridor), Trend reports, with reference to the US State Department report on the country's investment climate.
"Russia’s war against Ukraine caused supply chain disruptions and complicated Kazakhstan’s external trade and business operations... Nonetheless, despite international sanctions against Russia, Kazakhstan’s foreign trade in 2023 continued to grow and expanded to 12 new markets, including Cambodia, Syria, Liechtenstein, and Uruguay. Sanctions against Russia have also affected trade routes transiting through Russia, increasing demand in Kazakhstan for alternative shipping routes, such as via the Trans-Caspian International Transport Route," the report reads.
According to the State Department, international oil companies continued to acknowledge sanctions-related risks due to potential disruption, reduction, temporary suspension, or limitation of shipments via the Caspian Pipeline Consortium pipeline (CPC) through Russia.
"Kazakhstan’s oil, uranium, and metals companies are increasingly using alternate routes that bypass Russia, such as shipping fuel through seaports in Georgia, Latvia, and Estonia; redirecting a small but consistently growing amount of oil exports from the CPC to Caspian seaports; and using TITR for over 60 percent of uranium shipments," the report reads.
The Middle Corridor is a transportation and trade route that connects Asia and Europe, passing through several countries in the region. It is an alternative route to the traditional Northern Corridor and Southern Corridor.
The route starts in China and crosses Central Asian countries such as Kazakhstan, Uzbekistan, and Turkmenistan. It then passes through the Caspian Sea, Azerbaijan, Georgia, and Türkiye before reaching Europe.
The Middle Corridor offers a land route that connects the eastern parts of Asia, including China, with Europe, bypassing the longer maritime routes.