Transformative Rail Project to Strengthen Mongolia’s Energy Export Capacity

Ulaanbaatar, May 14, 2025 /MONTSAME/. The Launch Ceremony of the construction of the Gashuunsukhait-Gantsmod Cross-Border Railway took place on May 14, 2025.

📅 February 14, 2025 — Mongolia and China have officially signed the Agreement on the Establishment of the Gashuunsukhait–Gantsmod Cross-Border Railway, marking a pivotal moment in bilateral infrastructure cooperation. This agreement concludes more than two decades of discussions and over 60 negotiation rounds since the project was first proposed in 2004.

🔹 Strategic export expansion: The new railway link is projected to increase Mongolia’s annual coal export capacity by 30 to 40 million tonnes, significantly enhancing its position in the regional energy market.

🔹 Accelerated economic growth: With continued infrastructure upgrades and complementary projects, Mongolia aims to scale coal exports to 120 million tonnes annually, targeting a GDP per capita of USD 10,000 in the near term.

🔹 Integrated logistics development: The cross-border line strengthens the Tavantolgoi–Gashuunsukhait railway (233.6 km), operational since 2022, creating a seamless logistics corridor that supports mining efficiency and trade flow across the border.

This agreement underscores the strategic alignment between Mongolia and China in advancing regional connectivity and economic development. It also opens up significant opportunities for investors, infrastructure developers, and stakeholders in the energy and transport sectors.