HomeInternational tradeKyrgyzstan and China Agree to Accelerate Fuel Supplies via Xinjiang

Kyrgyzstan and China Agree to Accelerate Fuel Supplies via Xinjiang

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First Fuel Shipments Have Arrived

Kyrgyzstan and China have agreed to accelerate fuel and lubricant supplies through the Xinjiang Uygur Autonomous Region. The agreement was reached on August 18 during a meeting between Kyrgyz Deputy Chairman of the Cabinet of Ministers Erlis Akunbekov and Xinjiang Communist Party Committee Secretary Chen Xiaojiang.

The talks focused on establishing direct connections between Chinese suppliers and Kyrgyz petroleum traders. The parties discussed transport routes, customs clearance and other practical issues affecting the reliability of shipments.

“Several of our companies have already signed contracts for aviation kerosene and diesel fuel. The first fuel shipments have been successfully delivered from China to Kyrgyzstan,” Akunbekov said.

According to the Cabinet of Ministers of Kyrgyzstan, the delegation included representatives of Kyrgyz companies operating in the petroleum sector. Some have already begun working with Chinese partners.

Kyrgyzstan Is Diversifying Fuel Imports

The agreement reflects instability in the global oil market and Kyrgyzstan’s need to maintain uninterrupted supplies of gasoline, diesel and aviation fuel.

China is expected to become an additional import channel, although the volumes, delivery schedule and commercial terms have not been disclosed. Kyrgyzstan is simultaneously negotiating with other potential suppliers. Uzbekistan, for example, could supply Kyrgyzstan with up to 20,000 tonnes of fuel per month.

A wider range of suppliers could reduce the risk of shortages, but it will also require adequate storage capacity, specialized transport and coordinated customs procedures.

New Fuel Infrastructure Could Be Built at the Border

Bishkek and Beijing also discussed joint exploration and development of oil and gas fields in Kyrgyzstan, the construction of oil refineries and the creation of infrastructure at border crossings.

The proposed facilities could support the storage, transit and transshipment of petroleum products and other cargo. Their development would complement expanding road and, in the longer term, rail connectivity between China and Central Asia.

The parties intend to prepare relevant bilateral documents for the upcoming Shanghai Cooperation Organisation summit in Kyrgyzstan and the state visit of Chinese President Xi Jinping. Chen Xiaojiang expressed China’s readiness to support mutually beneficial projects and expand trade through Xinjiang.

Read also: Kyrgyzstan Seeks 100,000 Tonnes of Russian Fuel a Month

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