Establishes East Gate: New Special Economic Zone in Kazakhstan's Khorgos Region
The Khorgos – Eastern Gate Special Economic Zone (SEZ) in Kazakhstan, strategically located on the country's border with China, is undergoing significant development, positioning itself as a vital transit hub between China, Central Asia, and Europe.
### Key Developments and Investments
A notable international project within the SEZ is the construction of a new cargo and passenger airport, led by a Kazakh-German consortium Skyhansa. This airport, designed to meet ICAO international standards, will feature cargo and passenger terminals, fuel storage, an aviation technical center, business facilities, and hotels. The estimated investment for this project is $500 million, with the first phase set to be completed by 2027.
### Investment and Project Scale
Out of 45 projects planned in the Khorgos SEZ, with a total value of approximately $496.8 million, 25 projects are currently under development, accounting for over $410.1 million in ongoing investments. These projects span various industries and infrastructure, aimed at boosting cross-border trade and logistics.
### Companies and Employment
The infrastructure and logistics development are being led by a mix of domestic and international enterprises, with the Kazakh-German joint venture Skyhansa taking the lead on the airport project. Local logistics and infrastructure operator Skymax Technologies also plays a significant role, indicating growing domestic participation in the zone's development. Although specific employment figures are not detailed, the scale of investments and ongoing projects implies increasing job creation in logistics, aviation, construction, and related services.
### Domestic Content Share
Though exact percentages of domestic content share are not explicitly mentioned, the involvement of Kazakh companies like Skymax Technologies alongside foreign partners suggests a collaborative approach that likely emphasizes some level of local participation. The government's strategic role and the approval of SEZ regulations and target indicators effective as of July 2025 also indicate formal frameworks may be in place to encourage domestic content in investments and operations.
### Strategic Importance
The Khorgos – Eastern Gate SEZ is integral to Kazakhstan's vision to become a significant transit country connecting Europe and Asia. The development of multi-modal logistics hubs, including this airport, rail, and road infrastructure, is central to this vision.
### Expansion and Growth
By 2030, the total volume of investments in the Khorgos SEZ is planned to reach 522.7 billion tenge (US$1 billion), with employment projected to grow to 20,500 jobs. By 2035, investments are expected to reach 715.5 billion tenge (US$1.3 billion), and employment is projected to increase to 22,000 jobs. The Khorgos SEZ also includes an industrial zone covering 230.4 hectares, a logistics zone of 483.4 hectares, and a port zone (air hub) spanning 840 hectares.
### Cross-Border Cooperation
The Khorgos SEZ seeks to foster cross-border cooperation, with the number of participants expected to reach up to 85 companies by 2030 and 95 by 2035. The zone's development is a testament to Kazakhstan's commitment to enhancing its logistics and trade capabilities, making it an essential node for cross-border trade.
Established on July 1, 2021, the Khorgos – Eastern Gate SEZ aims to establish an effective transportation, logistics, and industrial center, contributing significantly to Kazakhstan's economic growth and international standing.
The Kazakh-German joint venture, Skyhansa, is investing in the construction of a new airport within the Khorgos – Eastern Gate SEZ, which will involve business facilities, including hotels, as part of their $500 million project. As the SEZ expands and develops, it aims to attract more foreign and domestic enterprises, creating 20,500 jobs by 2030 in various sectors such as finance, business, construction, and aviation.
