Middle Corridor: The Fast-Growing Alternative to Traditional Trade Routes

Global trade routes are shifting, and one corridor is rising fast. The Middle Corridor—once an alternative, now a contender—is seeing record freight traffic, billions in investment, and a digital overhaul.

As geopolitical tensions disrupt traditional trade routes, an alternative path is rising fast. The Middle Corridor, running from China through Central Asia, the Caspian Sea, and into Europe, is seeing record-breaking freight traffic. Major infrastructure projects, digital integration, and new investment deals are turning it into a key competitor to both the Northern Corridor via Russia and traditional maritime shipping. But can it live up to its growing reputation?

Freight Traffic Surges Along the Middle Corridor

At the COP29 Ministerial Roundtable on the Sustainable and Digital Middle Corridor, held in Baku, Azerbaijan, Kazakhstan’s Vice Minister of Transport, Talgat Lastayev, pointed out the unprecedented growth along the Trans-Caspian International Transport Route (TITR). According to Caspian News, in the first 10 months of 2024, cargo volumes surged 68% year-on-year, reaching 3.8 million tons. Container transport tripled to 46,300 TEU, with the China-Europe-China route accounting for 27,600 TEU—a 25-fold increase compared to 2023.

Kazakhstan has secured agreements to increase container train frequency to 600 per year, while Azerbaijan’s Baku-Tbilisi-Kars (BTK) railway remains under capacity but is set for major upgrades to meet rising demand. According to Kazakhstan Railways, the corridor is now handling over 250 block trains from China.

🇹🇷🇦🇲 Turkish Vice President Cevdet Yilmaz: "The anticipated opening of the Zangezur Corridor will further increase the Middle Corridor's attractiveness as a key international trade route. The development of the Middle Corridor is an extremely critical issue."

While the… pic.twitter.com/EUFaXQtrGT

— Prince du Karabaque (@hayqmets) March 3, 2025

Infrastructure Upgrades and Digital Transformation

The rapid expansion of the Middle Corridor is being fueled by major infrastructure investments. Azerbaijan, China, and Kazakhstan have signed an agreement to establish an intermodal cargo terminal at the Port of Alat in Baku. This terminal will feature a multi-purpose cargo yard, a 5,000-square-meter warehouse, and a container yard capable of handling 1,000+ containers at a time. Caspian News notes that these enhancements aim to cut delivery times, lower transport costs, and streamline transshipment, reducing China-to-Europe transit via the corridor to just 15 days.

Simultaneously, digitalization is transforming operations. At COP29, PSA International, GDTC, and the TITR Association signed a Statement of Collaboration to make the Middle Corridor a digitally integrated Green Corridor, enabling automated customs clearance, real-time cargo tracking, and seamless border processing. Kazakhstan has already introduced a pilot electronic permit exchange project with Uzbekistan, with plans to digitize 60% of transport permits with China by the end of the year, as Caspian News notes.

China’s Growing Role in the Middle Corridor

China’s involvement in the Middle Corridor is rapidly expanding. As reported by The Times of Central Asia, in September 2024, during the 8th International Silk Road Expo in Xi’an, it was announced that China Railway Container Transport Corporation (CRTC) would officially integrate into the Middle Corridor, following China’s broader strategy of reducing reliance on maritime routes and expanding overland trade corridors.

Kazakhstan is playing a vital role in this transition. The country has ratified new agreements with China to expand the Middle Corridor’s rail and road infrastructure, while also modernizing key transit hubs such as Khorgos Dry Port and the Caspian Sea port of Aktau. With recent capacity expansions on the BTK railway, travel times for freight moving between China and the Black Sea have been reduced to just 10–12 days.

Europe Seeks Alternatives Amid Geopolitical Shifts

The Russian war in Ukraine has intensified the search for alternative trade routes. Maja Bakran Marcich, Deputy Director-General of the European Commission’s Directorate-General for Mobility and Transport, has pointed out the Middle Corridor’s growing importance in Europe’s trade strategy. According to him, over the past six years, cargo volumes on the route have tripled, with a doubling since the start of the war. The European Commission estimates that EUR 18.5 billion in infrastructure investment will be needed to bring the corridor’s capacity to 1.3 million TEU annually by 2040, as noted by Caspian News.

Meanwhile, negotiations are ongoing to attract more countries into the Middle Corridor project. According to Report News Agency, Bulgaria’s potential participation is under discussion, with TITR members considering expanding connections through the Black Sea to further integrate the corridor into European supply chains.

Can the Corridor Compete With Sea Freight?

Despite its rapid expansion, the Middle Corridor still faces major challenges in competing with maritime shipping. While the 15-day transit time is a major advantage, inconsistent infrastructure, customs delays, and fluctuating transport costs present obstacles to widespread adoption. To remain competitive, TITR members must focus on harmonizing transit procedures, expanding multimodal logistics, and lowering transportation costs. As Report News Agency notes, currently, shipping goods via the Middle Corridor costs more than traditional sea freight, making price competitiveness a key hurdle.

For the Middle Corridor to fully realize its potential, sustained investment, digital innovation, and stronger international coordination will be essential. The recent surge in freight volumes demonstrates its growing importance, but long-term success depends on eliminating logistical inefficiencies, reducing costs, and integrating with global supply chains.

As China, Europe, and Central Asia accelerate their involvement, the Middle Corridor is no longer just an alternative route—it is rapidly becoming a core component of Eurasian trade. Whether it can fully rival maritime shipping remains uncertain, but one thing is clear: this corridor is no longer on the sidelines—it is reshaping the future of global trade.

Sources: caspian News; The Times of Central Asia; Report News Agency