Xinjiang Today |
A Silk Road revival | |
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![]() China Railway Express trains undergo transshipment operations at the Huoerguosi railway port on December 25, 2024 (XINHUA)
As global trade dynamics evolve, Xinjiang Uygur Autonomous Region emerges as a pivotal hub connecting continents, with its trade now reaching most countries and regions in the world. Chen Weijun, Executive Vice Chairman of the regional government of Xinjiang, who also serves as a deputy to the National People's Congress (NPC), China's top legislature, underscored Xinjiang's accelerating integration into the global economy on March 7, while attending the annual legislative session in Beijing, which ran from March 5 to 11 this year.
"Its trade with emerging markets, particularly in Africa, the Middle East and Latin America, is experiencing unprecedented growth, reflecting Xinjiang's confident stride onto the world stage," Chen remarked, addressing inquiries about the region's ambitious push to deepen international ties through trade. Located on the Silk Road, a vital network of trade routes and conduit for cultural exchange that flourished from the second century B.C. to the mid-15th century, Xinjiang is reclaiming its historical role as a bridge between the East and the West. Driven by strategic infrastructure investments and a surge in cross-border cooperation, the region is poised for resurgence. Chen's remarks not only underscore Xinjiang's economic vitality but also highlight its ambitions to become a linchpin of 21st-century trade, an embodiment of China's broader vision for interconnected, resilient global markets. ![]() Trucks pass through the Alashankou Port, Bortala Mongolian Autonomous Prefecture, on June 25, 2024 (XINHUA)
Expanding partnerships According to figures released by Urumqi Customs located in the regional capital at a press conference on January 23, Xinjiang's foreign trade in 2024 delivered remarkable results. The region's total import and export value reached 435.11 billion yuan ($60 billion), a 21.8-percent year-on-year surge, with the growth outpacing the national average by 16.8 percentage points and ranking third nationwide. Xinjiang's trade volume has constantly set new milestones, and has nearly doubled in the last three years. As a pivotal hub under the Belt and Road Initiative (BRI), a China-proposed initiative to boost connectivity along and beyond the ancient Silk Road routes, Xinjiang is solidifying its role as a "golden bridge" for economic and trade collaboration across Eurasia, reinforcing its historical importance. Xinjiang's "global friend circle" continues to grow. In 2024, its trade with BRI partner countries rose by 18.7 percent, while exports to members of the Regional Comprehensive Economic Partnership, a free trade agreement that went into effect in 2022, and countries of the Association of Southeast Asian Nations (ASEAN) soared by 167.8 percent and 191.9 percent, respectively. Major infrastructure projects have strengthened logistics corridors to Central Asia. At Yierkeshitan (Irkeshtam), a land port that borders Kyrgyzstan, nearly 900 freight vehicles cross daily, with goods distributed from Xinjiang to multiple Central Asian nations, amplifying regional connectivity. "In the past, Xinjiang's economy was primarily driven by agriculture. However, with the introduction of the BRI, more businesses are engaging in export, and foreign demand continues to rise. Xinjiang's 'corridor economy' holds distinct advantages," Jiang Congjie, Deputy General Manager of Huoerguosi Jinyi International Trade (Group) Co. Ltd., told Xinjiang Today. Jiang highlighted that a dedicated green channel for exporting fruits and vegetables enables products from Huoerguosi, also known as Khorgas or Horgos, to reach Arab countries in just six hours, preserving their freshness. This green channel has been in place for several years, and with the introduction of 24/7 freight clearance services this year, export volumes have continued to grow. "These measures not only bolster Xinjiang's foreign trade development but also accelerate port construction, creating a comprehensive policy framework to support sustained growth," said Li Xuan, Deputy Director of Xinjiang's Department of Commerce, in an interview with newspaper Xinjiang Daily. ![]() Business representatives receive licenses at the unveiling ceremony of the Kashi section of the China (Xinjiang) Pilot Free Trade Zone in Kashi City on November 11, 2023 (XINHUA)
Policy innovations Xinjiang's foreign trade growth in 2024 was not merely driven by market forces but also by bold policy reforms and institutional breakthroughs. With the establishment of the China (Xinjiang) Pilot Free Trade Zone (Xinjiang FTZ) in November 2023, the region has redefined efficiency and competitiveness through pioneering measures that have positioned it as a key player in global trade. An FTZ refers to a designated area within a country where goods can be imported, manufactured and re-exported without the intervention of customs authorities. In its first full year of operation, the Xinjiang FTZ accounted for over 40 percent of the region's total foreign trade, with imports and exports reaching 189.98 billion yuan ($26.7 billion). Its success stems from groundbreaking initiatives such as bonded aviation fuel services and aircraft maintenance operations—first-of-their-kind projects in northwest China. The Urumqi Diwopu International Airport's bonded jet fuel system has streamlined refueling for 16 international airlines across 15 cargo routes, slashing logistical costs by 30 percent. Similarly, the launch of bonded aircraft maintenance at Huoerguosi Port has attracted global aviation firms, positioning Xinjiang as a regional hub for aerospace services. Further policy innovations have reinvented cross-border logistics. The "Highway Port + Local Direct Clearance" model, now implemented across seven major land ports, has cut customs procedures by 60 percent and improved vehicle traffic efficiency by 80 percent, contributing to a record-breaking 80 million tons of cargo throughput in 2024, or a 12.3-percent annual increase. At the Urumqi Diwopu International Airport, the "direct pickup at airfield" system has revolutionized efficiency, reducing customs clearance time for imported helicopters from over 20 hours to just four. Policy-driven advancements have also enabled foreign trade enterprises to expand their operations. Jiang's company, a veteran in the fruit and vegetable business for over two decades, has diversified into new sectors, including daily necessities, industrial equipment and new-energy vehicles, which are now primarily exported to Russia, Uzbekistan and Kazakhstan. These innovations demonstrate Xinjiang's strategic shift from a passive transit hub to an active trade architect. In Xinjiang, policy isn't just about easing restrictions; it's about creating ecosystems where logistics, industry and regulations converge. In 2024, all of the Xinjiang FTZ's 129 pilot reform tasks were launched, with more than 80 achieving initial results. Xinjiang is crafting a playbook for inland regions aspiring to globalize. Charting the future As Xinjiang cements its role as a key hub in Eurasian trade, its ambitions reach far beyond current achievements. The region is preparing to break new ground in open development, market expansion and investment attraction. A major focus is next-generation trade infrastructure, with accelerated upgrades to "smart ports" at key hubs like Huoerguosi and Alashankou (Alataw Pass). Advanced customs clearance, logistics tracking, and automated inspection systems will build on the success of the "Highway Port + Local Direct Clearance" model. Xinjiang is also seeking to position itself as a testbed for international trade rule making, including piloting policies to streamline commodity import procedures and facilitate cross-border data flow. "We will align with international high-standard economic and trade rules, promote institutional reforms to deepen opening up, and support the innovative development of border free trade pilot zones," said Li. While Central Asia remains a focus, Xinjiang is broadening its global reach. In 2025, the region plans to deepen cooperation with Hong Kong and Macao special administrative regions, while actively exploring new markets in ASEAN, the Middle East, and Africa. Participation in multilateral forums—such as the Shanghai Cooperation Organization and the China-Central Asia mechanism—will strengthen Xinjiang's international partnerships. To attract more investment, the government is facilitating business and enhancing transparency, ensuring foreign enterprises can fairly participate in government procurement, bidding, and standard-setting. Foreign-invested companies will have equal access to industrial and regional development policy incentives, fostering a competitive and open environment. Encouraging investment from countries participating in the BRI, Xinjiang is prioritizing key sectors like energy resources, new materials, specialty medicine, and agriculture. The market access system features pre-establishment national treatment plus a negative list, which means giving foreign companies the same treatment as domestic companies before they invest, except in industries listed on a "negative list" wherein investment is restricted. Xinjiang will also expand the foreign investment catalog to support high-potential industries. To boost innovation, foreign-funded research and development (R&D) centers will be encouraged through lower tax burdens and streamlined approvals for R&D spending, equipment purchases, and hiring specialists. High-level international talent will benefit from simplified immigration procedures, including fast-tracked visas, work permits, and residency options for professionals contributing to Xinjiang's economic development. "This year, Xinjiang will continue to ramp up its opening-up efforts. By enhancing transportation, Xinjiang will make sustained efforts to further facilitate foreign trade, and forge stronger, more stable, and efficient foreign trade links," Li emphasized. Comments to zhaowei@cicgamericas.com |
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