The Middle Corridor is being established as a regional strategic trade corridor linking China and Europe through Central Asia, the Caspian Sea, South Caucasus, and Türkiye. It is a rapidly rising corridor with alternative, expedited shipping to the seas, reshaping regional connectivity.

Middle Corridor growth reshapes trade between Asia and Europe
Photo: AZERTAC

This is reported by the railway transport news portal Railway Supply.

Iranian-Turkish cooperation on the route

It is a critical alternative route to the northern railways and Suez Canal through Russia. Transit for ships takes 20–25 days on average compared to 40–50 days via sea, reducing logistics costs and attracting exporters seeking quick and secured transport.

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Trade flow in the corridor rose nearly 90% since 2022. 2024 alone witnessed 358 container block trains pass through Azerbaijan and Central Asia. It is expected to triple as safe transportation outlets are pursued by international stakeholders.

Azerbaijan’s strategic location along the Middle Corridor

Azerbaijan invests extensively in ports, logistics hubs, and railroads in an effort to boost its profile. Baku International Sea Trade Port is one key multimodal facility, connecting South Caucasus and Central Asia networks as it develops digital platforms through Chinese cooperation.

Concurrently, the Zangezur Corridor project will link Azerbaijan and Türkiye, raising regional freight capacity to 15 million tonnes a year. It also positions Azerbaijan as a major node in Eurasian supply chains.

Global interest and geopolitical importance

America and other interested parties see the corridor as a commercial and geopolitical instrument. For Washington, supporting the route reduces reliance on ageing networks and deepens area partners in a transforming world trade environment.

But challenges persist. Transportation is more expensive than maritime shipping, and it needs tariff harmonization, electronic platforms, and political cooperation from participant states. Failing these measures, inefficiencies might erode competitiveness and restrict long-term growth.

Why is the Middle Corridor important for world trade?

Middle Corridor provides a shorter alternative to sea freight, shortening shipping times from China to Europe. It diversifies routes amid international geopolitical intricacies while boosting supply chain resilience.

What is the contribution of Azerbaijan towards the corridor?

Azerbaijan is at the center of the corridor's success, investing in railroads, ports, and the Zangezur Corridor. It is a strategic location and infrastructure connecting Central Asia, Türkiye, and Europe.

What might restrain the corridor's development?

Key challenges include high transportation costs, the need for harmonization of tariffs, digitization, and political stability. It's necessary to overcome such challenges for the corridor to compete with established trade corridors.

Source: news.az

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