A milestone agreement has been signed to establish a new trade corridor, between China and Russia through central and western parts of Mongolia, while providing additional access to the sea for landlocked Mongolia.
The trilateral intergovernmental agreement was signed by the transport ministries of China, Mongolia and Russia at the United Nations Economic and Social Commission for Asia and the Pacific (UN ESCAP) Ministerial Conference on Transport in Moscow. Eliminating transit barriers and significantly reducing delivery times, the agreement will facilitate international road transport along the Asian Highway network.
With the TIR transit system already operational in Mongolia, Russia, Central Asia and Europe – and with China’s recent ratification of the TIR Convention – the new corridor will benefit from faster, more secure and more efficient border crossings, leading to reduced transport costs and offering a significant boost to trade and development across the region.
A China-Russia pilot trade caravan successfully tested the 2,200km overland trade route between China, Mongolia and Russia earlier this year, ahead of the implementation of the TIR system in China.
Once in force, the agreement will be open for accession by other Asian Highway member countries to further enhance regional connectivity, international trade and ultimately economic growth for those communities along the route and beyond.