President of Mongolia Ukhnaa Khurelsukh worked at the logistics center in Zamyn-Uud soum of Dornogobi aimag

On February 14, the President of Mongolia, U. Khurelsukh worked in Zamyn-Uud soum of Dornogobi aimag. It is the main logistics center that handles about 70% of freight and 30% of passenger traffic across the state border and generates 15% of customs revenue.

The expansion and modernization of Zamyn-Uud infrastructure is being carried out in cooperation with the People’s Republic of China.The construction of the logistics center’s buildings, facilities and infrastructure began in 2019, and are  91% complete.

The following work is being implemented as part of the Construction of Zamyn-Uud Buildings, Facilities and Infrastructure project, under the government’s New Revival Policy:
•    Construction of 30 buildings and facilities in the passenger-transport section;
•    Construction of 28 buildings in the cargo section;
•    Construction of a heavy-duty auto road;
•    Installation of utility networks and communication lines;
•    Construction of the external power supply line;
This will increase the capacity of passenger traffic by four times, and freight traffic by three times.
As part of the logistics center, the construction of houses and facilities, the installation of the heat, electricity and clean water supply systems and the sewage system, building of roads and squares, and landscaping work took place on an area of 19.72 hectares.

Passenger traffic was opened on January 8, 2023.
By expanding the capacity of the logistics center, it is now possible to ensure the passage of 20,000 people per day.  The center itself consists of 30 buildings and facilities that meet international standards.

The logistics center was built with soft loans from the Asian Development Bank and commissioned in 2018. The logistics center handled an average of 2 million tons of cargo per year, but in 2022 the cargo flow increased and 3 million tons of cargo were processed.

It was also emphasized that the logistics center played a key role in overcoming the pandemic, by transporting more than 100,000 containers a year.
In 2021, for example, the center moved a total of 100,000 containers, of which 80,000 were transit containers and 20,000 were import containers. In 2022, a total of 130,000 containers were moved, of which 75,000 were import containers.

And in 2022, the trade turnover between Mongolia and China reached $13.6 billion. In order to increase  trade turnover to $20 billion, logistics centers with the same capacity as the logistics center at Zamyn-Uud are planned to be built first in Khangi, Gashuunsukhait, and Shiveekhuren border checkpoints, said Kh. Bulgantuya, Minister of Mongolia and Chair of the National Commission of Border Port Recovery. 

The President of Mongolia emphasized that for the successful implementation of the agreements reached during the state visit to China, the Mongolian side needs to work fast and take all necessary measures.

Kh. Bulgantuya: Zamyn-Uud can be developed into a transit hub

The Minister of Mongolia and Chair of the National Commission of Border Port Recovery Kh. Bulgantuya emphasized that by modernizing the buildings and infrastructure of Zamyn-Uud and further accelerating the border checkpoint’s reconstruction, Mongolia-China trade turnover will increase significantly and the necessary conditions will be created to make the checkpoint a transit hub.

The President of Mongolia paid a state visit to China in November 2022, and the two sides agreed to increase total bilateral trade to $20 billion. They alsodiscussed and signed several high-level agreements on border checkpoints.

As a result of the visit, many important issues were mutually agreed upon as part of cooperation between the border checkpoints of the two countries, such as improving the capacity of border cities Zamyn-Uud and Erlian, increasing cargo turnover, connecting Gashuunsukhait with Gantsmod and Khangi with Mandal by rail.

In particular, Mongolian President U. Khurelsukh said on this occasion that the Chinese side promised to introduce new equipment and technologies for cargo transportation at the border checkpoints and support the Mongolian side to effectively upgrade the border checkpoint capacity.

He expressed confidence that the development of Zamyn-Uud border city would provide great opportunities for Mongolians and create conditions for economic recovery after the pandemic.