President Tokayev Addresses Kazakhstan-China Investment Forum Almaty

Almaty

Prior to the start of the event, the participants observed a minute of silence in memory of the servicemen who tragically lost their lives in the Mangystau Region.

Kassym-Jomart Tokayev emphasized that the eternal comprehensive strategic partnership between Kazakhstan and China has a strong historical foundation and is developing steadily in the spirit of good-neighborliness and mutual trust.

"The personal attention and firm support of my close friend, His Excellency President Xi Jinping, have brought bilateral relations to an unprecedented level. In the new "Golden Thirty Years", Kazakhstan-China cooperation has assumed a comprehensive character across all key areas. China is Kazakhstan's largest trading partner. Last year, bilateral trade reached a record level of nearly 50 billion US dollars. Our governments are actively working to increase this figure to 100 billion US dollars. Investment cooperation is also demonstrating strong momentum. China has traditionally been one of the largest investors in Kazakhstan's economy, with cumulative investments exceeding 29 billion dollars. More than 9,000 enterprises with Chinese participation are successfully operating in Kazakhstan - nearly one in every seven foreign companies registered in our country," the Head of State said.

The President informed that cooperation is steadily expanding in industry, agriculture, healthcare, education, digitalization, smart-city development and satellite technologies. According to the President, the ratification of the Agreement on the Promotion and Mutual Protection of Investments has provided an important legal foundation for further expanding bilateral cooperation.

"The visa-free regime established between our countries also makes a significant contribution to expanding business contacts. We can say with confidence that Kazakhstan has created the most favorable conditions for attracting large-scale investment and implementing ambitious projects. The main provisions of the Constitution, which entered into force on July 1 this year, provide a strong legal foundation for strengthening the country's investment potential. We attach fundamental importance to ensuring the stability of regulations and the quality of government support for investment activities. To this end, Investors' Rights Protection Committee has been established under the Prosecutor General's Office. The Prosecutor General has been assigned the role of investment ombudsman," Kassym-Jomart Tokayev emphasized.

The Head of State considers that amid the profound transformation of the global economy, Kazakhstan and China can offer a constructive model of cooperation based on mutual trust, openness and shared long-term interests. Against this backdrop, speech outlined the priority areas for the two countries' continued mutually beneficial partnership. First, the President focused on the transport and logistics sector.

"Together with our international partners, we are expanding railway capacity, upgrading highways and seaports, developing air cargo transportation and cross-border infrastructure. A network of logistics hubs has been established from Lianyungang to Aktau, connecting China's coast with the Caspian Sea. A new important link in this network will be the Kazakhstan-China terminal in Chengdu, where Kazakhstan's Consulate General is also planned to open. The development of the Middle Corridor, which is shaping a modern configuration of transport links between Asia and Europe, remains a priority," the President noted.

Kassym-Jomart Tokayev noted that the forum brought together companies already actively involved in expanding the capacity of transit hubs. He informed that according to forecasts, the number of container trains traveling from China to Europe would reach 3,000 by 2029. This will further strengthen Kazakhstan's position as one of the key transport hubs in global logistics chains.

"A number of joint initiatives are already taking concrete shape. This past August, I launched construction of the Aral-Caspian highway. The new route will significantly increase the capacity of the East-West corridor. The large-scale construction of the Moyinty - Kyzylzhar and Bakhty - Ayagoz railway lines will be completed in the near future. Transparency in freight transportation is being ensured through the joint implementation of digital technologies under the Smart Border pilot project. In partnership with Minmetals Logistics, a logistics corridor incorporating autonomous transport technologies and digital solutions is being created. This is a unique project for our country. We are also paying particular attention to the development of multimodal transportation. The national air cargo carrier Alatau Air Cargo has commenced operations. Major global cargo airlines, including Cathay Pacific Cargo, are also entering the Kazakh market. Civil aviation plays an equally important role. This year, new routes were launched connecting Almaty with Xi'an and Shanghai, Astana with Guangzhou, and Aktau with Urumqi. This week, the first direct passenger route between Almaty and Chongqing was launched," the Head of State said.

The President then highlighted the importance of industrial cooperation. He noted that a portfolio of 260 major joint projects worth more than 62 billion dollars has been formed in this area.

"With the participation of Chinese enterprises, an automotive cluster is being developed in Almaty, silicon production is being established in the Karaganda Region, and projects are being implemented in metallurgy, oil and gas chemistry, and energy storage systems. The first projects aimed at optimizing and restoring low-productivity oil wells are being launched. In the Aktobe Region, a special industrial zone is being established on a pilot basis with China's Jinyi Holding Group. It will operate in accordance with international standards. Our agreements in the agro-industrial sector are also taking concrete shape. In particular, I would like to highlight the flagship projects of Lihua, Fufeng and Dalian Hesheng Holdings to establish a vertically integrated cotton and textile cluster and develop deep processing of corn and grain. This provides a solid foundation for taking our partnership to a new level - from implementing individual investment projects to creating fully-fledged production ecosystems and jointly entering the markets of Central Asia, the Eurasian Economic Union, the South Caucasus and Europe. In this regard, I propose launching the Kazakhstan-China programme "Common History, Destiny. Designed and Made in Both China and Kazakhstan." The Government should work jointly with Chinese partners to form a pool of promising projects and move swiftly to their implementation," Kassym-Jomart Tokayev instructed.

The Head of State identified cooperation in the mining and metallurgical sector as another priority. He noted that Kazakhstan possesses significant reserves of uranium, copper, gold, coal, critical minerals and rare earth metals.

Particular attention was devoted to digitalization. The President emphasized that Kazakhstan is open to cooperation with all leading technology centers around the world.

"This year, our country became one of the founding members of the World Organization for Cooperation in Artificial Intelligence, joining a new international platform for technological cooperation. This initiative belongs to Chinese President Xi Jinping. Kazakhstan is interested in technology transfer and the establishment of joint engineering and research centers. We attach great importance to training a new generation of specialists. We intend to open the first Kazakhstan-China School of Artificial Intelligence in our capital. Alatau City is becoming a vivid embodiment of our productive technological partnership. This large-scale project is designed to become a powerful center of business activity across the space connecting China, Central Asia and Europe," the Head of State continued.

The President noted that implementing such initiatives requires an appropriate financial architecture. He informed the forum participants that the Astana International Financial Centre (AIFC) has been operating successfully in Kazakhstan for many years.

"We see significant potential in developing cooperation between the AIFC and Hong Kong, one of the world's leading financial centers. At the beginning of this September, Samruk-Kazyna became the first issuer from Central Asia and the Shanghai Cooperation Organization countries to enter China's interbank market, issuing panda bonds worth more than 3 billion yuan (450 million dollars). Overall, Kazakhstan intends to make the entire investment cycle as short, transparent and technology-driven as possible. The signing of the Agreement to establish the Kazakhstan-China Investment Fund under Kazakh Invest, the national investment attraction company, is another important step in this direction," considers Kassym-Jomart Tokayev.

According to the Head of State, the Kazakhstan-China Investment Forum should become a permanent platform for direct interaction between the business communities of the two countries.

"I propose holding it annually in September under the name of the "Kazakhstan-China" Almaty Investment Dialogue. A number of concrete agreements have been reached today. I am confident that these agreements will benefit not only Kazakhstan and China, but also contribute to the sustainable development of the entire Eurasian continent," the President of Kazakhstan said.

Kassym-Jomart Tokayev emphasized that Kazakhstan attaches particular importance to strengthening its eternal friendship with neighboring China and to the dynamic development of long-term, mutually beneficial cooperation in various fields.

"For our country, this is one of the most important foreign policy objectives. Looking back at our shared history, the Chinese people have never caused any harm to our people. Over the years, the two peoples have coexisted in true harmony, maintaining mutual respect and offering support to one another. In these unstable and uncertain times, Kazakhstan and China, as reliable partners, must act together, shoulder to shoulder, to confront numerous challenges and threats. There is a meaningful proverb in Chinese: "When people unite, they can move Mount Tai." I am confident that Kazakhstan and China, as two friendly and neighboring states, will be able to successfully accomplish any task together," the President concluded his remarks.