Kazakhstan and Mongolia Aim to Increase Trade Fivefold
The intention to expand trade was announced following a meeting between Kazakhstan's First Deputy Prime Minister Nurlybek Nalibayev and Mongolia's Deputy Prime Minister Nomtoibayar. The goal to increase mutual trade fivefold was set at the highest level in April during the state visit of Mongolia's President Ukhnaagiin Khürelsükh to Astana.
In January, the governments of the two countries expressed their intention to increase trade volume to 500 million dollars. From January to November 2025, mutual trade amounted to 121.5 million dollars, with 113 million dollars coming from Kazakhstani exports. At the end of 2025, trade exceeded 133 million dollars.
Joint Projects
The areas of cooperation include energy, the atomic industry, digitalization, finance, agriculture, mining, exploration and development of deposits, mineral raw materials processing, as well as cultural and humanitarian projects.
At the intergovernmental commission meeting on October 1, the parties discussed mechanical engineering, agro-processing, and the mining and metallurgical sector. The creation of clusters for deep processing of wool and hides was also considered. More than 90% of Kazakhstan's supplies to Mongolia in 2025 were finished non-raw materials.
Trade Conditions and Contracts
The provisional trade agreement between the Eurasian Economic Union and Mongolia came into effect on July 22, 2026. Import duties on 367 product subpositions were reduced or canceled for each side. These positions account for about 90% of trade between the Eurasian Economic Union and Mongolia.
Potential export goods from Kazakhstan include grain, poultry meat, dairy products, vegetable oils, sugar, confectionery, and beverages. In the industrial group, metallurgical and chemical products, transformers, and vehicles were named. During a business mission in Ulaanbaatar, Kazakhstani companies signed export contracts worth 62.6 million dollars.
The parties are also working on three deliveries of Kazakhstani railway gondola cars with a total value of about 21 million dollars. Kazakhstan's export credit agency approved a 33 million dollar credit limit for Mongolia's Trade and Development Bank.
Transport Routes
Kazakhstan and Mongolia do not share a common border, so transport and logistics infrastructure were named as one of the conditions for trade growth during negotiations. The parties positively evaluated the direct air connection between the capitals, opened in June, and discussed additional air routes.
In the first eight months of 2026, rail freight between the countries increased by 16%. Road freight in 2025 increased by 52% and reached 17.3 thousand tons. Governments are considering routes through China, as well as the Kazakhstan–Russia–Mongolia direction.
Non-Tariff Requirements
The reduction or cancellation of duties does not eliminate veterinary, technical, and other requirements for goods. In the first months of the Eurasian Economic Union's and Mongolia's agreement, exporters faced such non-tariff restrictions, affecting supply deadlines and costs.
Kazakhstan's First Deputy Prime Minister Nurlybek Nalibayev stated: "We pay special attention to the comprehensive development of cooperation with our important trading partner, Mongolia."
