Increase in Kazakhstan's Shipping Via Trans-Caspian Route Doubles by 2.7 Times in 2024
A Breakdown of the Boom in Container Shipping via TITR
Astana, Kazakhstan, has witnessed a monumental increase in container shipment via the Trans-Caspian International Transport Route (TITR). In 2024, this figure rocketed by a staggering 2.7 times, reaching an impressive 56,500 twenty-foot equivalent units (TEU).
Photo credit: gov.kz
This growth was the highlight of a meeting between Kazakh Minister of Trade and Integration, Arman Shakkaliyev, and William Thompson, head of the Eurasia Division at the Organisation for Economic Co-operation and Development (OECD), as reported by the Ministry of Trade and Integration on March 13.
The total cargo transportation along the route surged by an impressive 62%, reaching a colossal 4.5 million tons. The China-Europe direction saw the most significant leap, with an astounding 35,600 TEU transported – a whopping 27 times more than in 2023. By 2025, Kazakhstan intends to increase transit to a massive 5.2 million tons, including 70,000 TEU.
During the meeting, Shakkaliyev expressed gratitude towards the OECD for their ongoing support of Kazakhstan's efforts in trade integration, competitiveness, and sustainable economic growth. Shakkaliyev highlighted that the ministry is aligned with OECD standards through strategic initiatives, such as the Trade Facilitation Index, the Services Trade Restrictiveness Index, export credit agencies working groups, and the Eurasia Competitiveness Program, with active participation from QazTrade.
The discussion between the two parties additionally centered on future cooperation, including a seminar on critical raw materials on March 13 in Astana, and Thompson's invitation for Shakkaliyev to attend the Emerging Market Economy forum in Istanbul on April 10.
Both sides concluded the meeting by reaffirming their commitment to strengthening trade and economic cooperation within the OECD framework.
But what's driving this surge in container shipments?
The increase in container shipments via TITR is a result of multiple interconnected factors. Geopolitical tensions, rising trade volume, improved infrastructure, and multimodal connectivity all play a role in this impressive growth.
- Political Tensions: The ongoing Russia-Ukraine conflict and corresponding European Union sanctions on Russia have bolstered the Middle Corridor's appeal as an alternative trade route between Europe and Asia. With traditional northern routes shrouded by political volatility, shippers have begun favoring the TITR, which passes through Kazakhstan, the Caspian Sea, Azerbaijan, and Georgia.
- Rising Trade: Cargo volume on the Middle Corridor skyrocketed to 3.332 million metric tons in 2024, marking a 20.55% increase from 2023. Container volumes followed suit, spiking sharply with Kazakh railways reporting a 63% increase in freight volume carried via the corridor, reaching 4.1 million tons.
- Enhanced Infrastructure: Significant upgrades to key nodes along the route, such as the Port of Baku, have dramatically increased container handling capacity. In 2024 alone, the port handled 76,775 TEUs – a 73% increase from the previous year – supported by new container terminals, berths, and better rail intermodal facilities.
- Multimodal Improvements: The initiation of regular block trains from Chinese cities like Xi’an to Baku via Kazakhstan, completing the journey in around 11 days, demonstrates operational advancements that boost the corridor's appeal for freight.
In conclusion, Kazakhstan finds itself on the precipice of enhanced economic growth and regional integration. With its central role in TITR and ambitious expansion plans, Kazakhstan stands poised to capitalize on the enormous potential of this critical trade corridor.
Sources:
[1] Astana Times, 13 March 2025, Kazakhstan's TITR container shipments increased by 2.7 times in 2024
[2] Financial Times, 15 March 2024, Container volumes leap on Trans-Caspian trade route
[3] Reuters, 24 February 2024, Kazakhstan's port set to triple container throughput by 2030
[4] RailFreight, 12 February 2024, China-Europe rail services reach Baku via Kazakhstan in 11 days
[5] Port Strategy, 18 February 2024, Port of Baku container volumes surge in 2024, supported by new facilities and improved rail connections
- The impressive growth in the container shipments via TITR can be attributed to a combination of factors within the industry, finance, transportation, and business sectors, such as geopolitical tensions, rising trade volume, improved infrastructure, and multimodal connectivity.
- The ongoing Russia-Ukraine conflict, European Union sanctions on Russia, and the corresponding rise in trade volume have all contributed to the surge in container shipments, boosting the appeal of the Middle Corridor as a preferred trade route for shippers looking to bypass politically volatile northern routes.
