Azerbaijan Railways, Xi’an Port sign agreement to boost Middle Corridor trade (PHOTO)

BAKU, Azerbaijan, July 11. Azerbaijan Railways (ADY) has signed a Memorandum of Understanding with China’s Xi’an Free Trade Port Construction and Operation Co., Ltd. (Xi’an Port) to strengthen cooperation in rail transport, transit operations, and digital solutions, Trend reports.

The agreement was signed during an official visit by an ADY delegation to China. As part of the deal, ADY has appointed a permanent representative at Xi’an Port and launched a new container yard at the site.

The two sides outlined new areas of collaboration aimed at enhancing rail-based transit and implementing joint digital projects. During meetings with Xi’an Mayor Ye Niuping and port officials, ADY Chairman Rovshan Rustamov emphasized that expanding transit cooperation between Azerbaijan and China—especially along the Middle Corridor—has become a strategic priority. He noted that President Ilham Aliyev’s visit to China in April and the joint declaration signed during that trip gave a strong boost to cooperation under the Belt and Road Initiative.

Rustamov said that recent talks between ADY and Xi’an Port leadership have already yielded concrete results, with joint initiatives now underway. He described the signing of the MoU, the appointment of an ADY representative in Xi’an, and the opening of a 20,000-TEU container yard as key steps toward expanding the Middle Corridor’s capacity and increasing cargo volumes along the route. He also noted that ADY representatives have been granted access to Xi’an Port’s operational systems to enable real-time information exchange.

Rustamov also introduced the Chinese side to the Baku International Sea Trade Port, which was recently integrated into ADY’s structure. This integration, he said, will allow for more efficient coordination of port and rail operations and the delivery of streamlined, end-to-end logistics services. The port plays a central role in the growing trade between Asia and Europe.

Yuan Xiaojun, CEO of Xi’an Free Trade Port Construction and Operation Co., Ltd., welcomed the appointment of ADY’s representative and the creation of the container yard, saying these developments will support more efficient cargo operations and closer coordination between the two sides.

Both parties also agreed to expand cooperation in several key areas: organizing container trains along the Trans-Caspian International Transport Route, increasing the capacity of ports and railways along the Middle Corridor—including across the Caspian Sea—and improving access to Turkey and Europe via the Baku–Tbilisi–Kars railway. They also plan to develop a data-driven scheduling system to attract more freight.

In addition, the two sides committed to working together on digital solutions, including real-time cargo tracking and an electronic data exchange system to enhance transparency and efficiency.

This agreement marks another important step in expanding ADY’s international partnerships, especially with Xi’an Port, and will contribute to more efficient and reliable transport operations along the Middle Corridor.

Notably, the first container block train from Xi’an Port to Baku via the Middle Corridor was launched in March 2024, completing the journey in just 11 days. In November 2023, Azerbaijan sent its first export block trainc - 62 forty-foot containers - to Xi’an. Currently, two block trains are dispatched monthly from Baku to Xi’an, providing Azerbaijani exporters with direct access to the Chinese market.