Xi hails 'new level' in ties as China and Kazakhstan sign €11.4bn in deals

By Tomiris Bilyal Published on 17/07/2026 - 16:14 GMT+2 Share Comments Add Euronews on Google Share Facebook Twitter Flipboard Send Reddit Linkedin Messenger Telegram VK Bluesky Threads Whatsapp Xi Jinping and Kassym-Jomart Tokayev signed more than 70 commercial agreements on the sidelines of the World AI Conference in Shanghai, including Central Asia's first battery plant with CATL and a new Caspian port terminal. Chinese President Xi Jinping told his Kazakhstani counterpart Kassym-Jomart Tokayev that bilateral relations had reached a new historic high during talks in Shanghai, as the two countries signed more than 70 commercial agreements worth over $13 billion (€11.4bn). ADVERTISEMENT ADVERTISEMENT "Thanks to our joint efforts, the permanent comprehensive strategic partnership between China and Kazakhstan has reached a new level. There is still considerable room for further development," Xi said on the sidelines of the World Artificial Intelligence Conference. Trade between the two countries has reached $49 billion (€42.8bn) annually, with cumulative Chinese investment in Kazakhstan exceeding $30 billion (€26.2bn). More than 8,500 Chinese-backed companies currently operate in Kazakhstan, as Beijing remains Astana's largest trading partner. "Our country is always ready to provide a business environment for Chinese investors. We guarantee legal protection for investments, modern infrastructure and a skilled workforce," Tokayev said. Shanghai is hosting the 2026 World Artificial Intelligence Conference (WAIC) from 17 to 20 July. The event has attracted more than 1,400 guests and over 1,100 companies. Copyright: Akorda presidential press service Among the flagship deals, the two sides agreed to build Central Asia's first battery manufacturing plant in partnership with Chinese electric vehicle battery giant CATL, alongside broader cooperation with Chinese automakers. A petrochemical complex with Sinopec, a corn processing plant with Fufeng Group and a cotton-textile cluster with Lihua Group are already under way. Kazakhstan and China also signed an agreement to jointly develop Kazakhstan's first pumped-storage hydropower plant in the Kargaly River valley in the Almaty region. Logistics remain a strategic advantage Kazakhstan handled roughly 85% of rail freight between China and Europe last year, a position Tokayev said he wanted to turn into a strategic advantage. "Kazakhstan should become the main transport and logistics hub connecting China with Central Asia, the Caucasus, the Middle East and Europe," he said. The country is connected to 13 international transport corridors and the government has invested more than $35 billion in transport infrastructure over the past 15 years. Two new projects are designed to further expand that capacity. The Bakty-Ayagoz railway line will open an additional rail crossing on the Kazakhstani-Chinese border. At Kuryk Port on the Caspian Sea, China's Guoyou Materials Group plans to build a multifunctional terminal with an annual capacity of 15 million tonnes. Kazakhstan and China also discussed establishing a joint venture to dredge the Caspian to maintain the port's depth and utility. On the digital side, Kazakhstan is developing a Smart Cargo platform to integrate customs, logistics and commercial operations into a single digital system. Kassym-Jomart Tokayev delivered a speech at the opening ceremony of the World Artificial Intelligence Conference in Shanghai, 17 July 2026. Copyright: Akorda presidential press service Tokayev also highlighted Alatau City, a new urban development built on a "Digital by Default" model featuring smart transport and digital payment infrastructure. Tokayev used the AI conference setting to declare technology a national priority. "Today, it is no longer enough to rely on natural resources. Competitiveness is determined by technology, data and artificial intelligence," he said. Related China set new records in trade and investment in Central Asia in 2025 Kazakhstan plans to boost Europe–China trade route. Here’s how Kazakhstan recorded a 27-million-tonne grain harvest, which Tokayev attributed in part to the spread of precision farming, drone monitoring and satellite crop management. More than 200 agricultural enterprises now operate as smart farms. The two countries signed a 2027–2030 trade and economic cooperation roadmap to govern future collaboration. Go to accessibility shortcuts Share Comments Add Euronews on Google Read more Kazakhstan signs €10bn in deals with Europe as Tokayev wraps Brussels visit China set new records in trade and investment in Central Asia in 2025 Xi hails 'new level' in ties as China and Kazakhstan sign €11.4bn in deals Artificial intelligence China Kazakhstan Investment