FINANCE

China's Central Asia Push: A Growing Influence

Central AsiaThu Aug 06 2026

Uzbekistan is at the forefront of China's economic expansion in Central Asia. The country's bilateral trade with China has skyrocketed, with official Uzbek government data showing a whopping $7.7 billion in trade during the first half of 2026. This makes China Uzbekistan's largest trade partner, leaving Russia far behind with a mere $5.8 billion in bilateral trade turnover.

The number of Chinese-Uzbek joint ventures and wholly owned Chinese companies has also seen a significant surge, with 6,060 new businesses emerging in H1 2026. Many of these companies are involved in key sectors like mining, industrial production, and energy. The growth rate for Chinese businesses in Uzbekistan is accelerating, with the number of companies more than doubling since 2022. Russia, which was once the leader in terms of the number of businesses in Uzbekistan, now trails behind with only 3,454 companies operating in the country.

Tourism from China is also booming, with 223,479 Chinese tourists visiting Uzbekistan in H1 2026. This is a significant increase from the previous year, and it's likely that the number of visitors will continue to grow as economic ties between the two countries strengthen. Kazakhstan and China are also deepening their financial integration, with plans to connect their payment systems and expand the use of digital financial technologies.

In Kazakhstan, agricultural exports have reached a record high, with flax seed shipments exceeding 1 million tons for the first time. China is a major buyer of these exports, accounting for around 40 percent of the total. The two countries are also collaborating on research projects, including an international laboratory focused on biological security and the One Health approach.

Kyrgyzstan and Tajikistan are also feeling the effects of China's growing influence in the region. Kyrgyzstan has received free premium-class Chinese-made automobiles from the China Center for Information Industry Development, and Tajikistan's trade with China has grown by roughly half during the first six months of 2026. China is also Tajikistan's largest provider of humanitarian assistance, accounting for about a sixth of the country's aid received during the first half of 2026.

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