Uzbekistan Surpasses China as Pakistan's Largest Trading Partner in Central Asia

Strategic Insights -

Uzbekistan's Ambassador to Pakistan, Alisher Tukhtaev, announced that his country has surpassed China as Pakistan's largest trading partner in Central Asia, marking a significant strengthening of economic ties between the two nations. The Ambassador emphasized the goal of increasing bilateral trade to $2 billion, highlighting the need to address trade barriers, improve logistics, and simplify customs procedures. The two countries have established 130 joint ventures in Uzbekistan with Pakistani investments, and the trade turnover between them has shown substantial growth.

Key Takeaways:

  • Uzbekistan has surpassed China as Pakistan's largest trading partner in Central Asia, with the goal of increasing bilateral trade to $2 billion.
  • In 2024, the trade turnover between Uzbekistan and Pakistan exceeded $400 million, with 130 joint ventures established in Uzbekistan with Pakistani investments.
  • The first half of 2025 saw mutual trade reach $253.7 million, a 123% increase from the same period in 2024.
  • Three major trade exhibitions were conducted in Lahore, Islamabad, and Karachi to boost bilateral trade.
  • Pakistani Prime Minister Shehbaz Sharif's official visit to Uzbekistan in January 2025 marked a milestone in bilateral relations, with discussions covering political dialogue, trade, and joint infrastructure projects.
  • Uzbekistan plans to utilize Karachi and Gwadar ports as strategic gateways to global markets, aiming to enhance regional connectivity.
  • The Uzbekistan-Pakistan Intergovernmental Commission meeting will discuss further initiatives to increase cargo turnover and deepen cooperation across multiple spheres.
  • A Preferential Trade Agreement is in the works to reduce tariffs and simplify customs procedures, with plans to increase the goods covered under the agreement.
  • A trilateral transit trade agreement with Afghanistan and Pakistan is proposed to facilitate regional trade.
  • Both nations have agreed to form a joint transport and logistics company to increase cargo turnover.

Statistics:

  • Trade turnover between Uzbekistan and Pakistan exceeded $400 million in 2024.
  • The first half of 2025 saw mutual trade reach $253.7 million, a 123% increase from the same period in 2024.
  • 130 joint ventures have been established in Uzbekistan with Pakistani investments.
  • $2 billion is the target for increasing bilateral trade.

Sources:

  • Alisher Tukhtaev, Uzbek Ambassador to Pakistan
  • Pakistani Prime Minister Shehbaz Sharif's office (January 2025 visit to Uzbekistan)