Soft power, in the form of scientific cooperation, is helping to drive an expansion of China’s economic influence in Central Asia. Uzbekistan and China, for example, recently launched the joint hyperspectral satellite, Samarkand-2028, which will support applications in agriculture, environmental monitoring, water resource management and natural disaster response. The satellite also features an Uzbek-developed AI module for onboard data processing, reducing the volume of data transmitted to ground stations while increasing the speed and efficiency of image analysis.

In addition, Uzbek Agricultural Ministry officials are collaborating with experts from the Chinese Academy of Sciences’ Institute of Microbiology and ZhejiangUniversity on a project to combat desertification and revive soil fertility in the Aral Sea region. The project is also developing drought-resistant plant varieties, Uzbekistan’s state news agency, UzA, reports.

Elsewhere in Central Asia, Kazakhstan’s minister of science and higher education, Sayasat Nurbek, met with representatives of Chinese entities conducting scientific research at Kozybayev University. The meetings focused on expanding cooperation, implementing the findings of their research into improving agricultural yields and developing programmes to train Kazakh specialists. Meanwhile, Tajikistan is looking to strengthen education and scientific cooperation with China: officials from the Strategic Studies Centre with the President of Tajikistan and a visiting delegation of the China International Communications Group, a state institution under the Communist Party’s Central Committee, discussed opportunities for joint analytical research, publications and expert exchanges, the official Tajik news agency Khovar reported. 

Transit and connectivity

The China-Kyrgyzstan-Uzbekistan (CKU) railway could be completed at least a year ahead of schedule, Uzbekistan’s transport minister told public television channel Uzbekistan 24, without providing specifics. He added that the three countries are also working to simplify border crossings and digitise transport procedures, with the eventual goal of introducing permit-free transit. Meanwhile, former Kumtor Gold Company CEO Tengiz Bolturuk predicted recently that the railway project’s cost could balloon up to $9bn. China has provided a $5bn loan to help finance the project. Once completed, Beijing will retain a 51% controlling stake in the railway.

Kazakhstan and China discussed expanding aviation cooperation by establishing new routes linking Urumqi, Xinjiang Province’s largest city, with Karaganda, as well as Yining, Xinjiang’s third largest urban centre, with Astana and Almaty. The two sides are also exploring the creation of a joint regional airline using Chinese-made COMAC aircraft. 

Kyrgyzstan and China are preparing an intergovernmental agreement to build a cross-border road bridge at the Bedel checkpoint, Economist.kg reports. Kyrgyz carrier AeroNomad Airlines also launched its first direct flight to China, connecting Bishkek and Urumqi, according to Vesti.kg. 

Kazakhstan

The Kazakh government is preparing to raise the equivalent of about $500mn by issuing a second round of sovereign panda bonds, yuan-denominated securities sold within mainland China’s domestic bond market. The new bond issue could float as early as September, reports Bloomberg. If successful, it will be Kazakhstan’s second float of sovereign panda bonds, and the third float overall. In May, the government launched sovereign panda bonds with placement volume at 3.4 billion yuan (over $500mn), and in April, Kazakhstan’s sovereign wealth fund, Samruk-Kazyna, issued Kazakhstan’s – and Central Asia’s – first ever panda bonds totalling 3 billion yuan (about $440mn). 

Kazakhstan and China signed an MoU to set up an integrated ecosystem for producing “sustainable” aviation fuel in Alatau, covering the entire value chain from cultivating agricultural feedstocks to processing and fuel production, writes Inform.kz. The MoU also calls for studying potential smart energy solutions and nickel-hydrogen energy storage systems to improve energy reliability and support the integration of renewable energy sources. 

Kazakhstan and China have taken another step toward financial integration by signing a three-year bilateral currency swap agreement, reports Kapital.kz. It is designed to facilitate trade and investment by improving access to tenge and yuan liquidity, thus encouraging greater use of national currencies in cross-border transactions. 

Kyrgyzstan

China became Kyrgyzstan’s largest foreign investor in 2025, overtaking Russia, with $305.7mn in FDI. Total foreign investment rose 31.4% year-on-year to $335.4mn, according to Eurasian Economic Commission data. The turnaround followed two consecutive years of net Chinese capital outflows.

China will provide Kyrgyzstan with 370 pieces of specialised equipment worth 148.9mn yuan as a grant to modernise the country’s irrigation network, reports Open.kg. The equipment, intended for mechanised canal cleaning, is expected to improve water management and agricultural irrigation efficiency nationwide.

Uzbekistan

China’s Ningxia Hui Autonomous Region supplied Uzbekistan with nearly 500 milk and breeding stock cows in early August. Since late last year, the Chinese region has sent over 1,700 head of cattle, reports Xinhua.

This article first appeared on Eurasianet here.