Five Key Events in Uzbekistan in 2025: A Central Asian Hub in Transformation

In 2025, under the leadership of President Shavkat Mirziyoyev, Uzbekistan will deepen domestic reforms, expand its diversified diplomacy, and promote a green transformation through a series of strategic initiatives. From optimizing its economic structure to expanding international cooperation, this year marks a profound transformation for Uzbekistan in the context of globalization.

As a populous nation and geopolitical hub in Central Asia, Uzbekistan is reshaping its regional role through carefully designed policy adjustments and international cooperation. This article, based on publicly available information, will outline key events in Uzbekistan's political, economic, and diplomatic fields in 2025, presenting a panoramic view of its systemic transformation.

01 Domestic Policy and Institutional Reforms

In 2025, Uzbekistan will continue to advance institutional modernization, aiming to improve government efficiency and social standards. In October, President Mirziyoyev signed a decree on local government reform. Starting January 1, 2026, the local branches of nine ministries and their respective departments will be integrated into the local government system, enabling governors to directly manage the socio-economic development of their regions.

Regarding the tax system, Uzbekistan has made significant adjustments. From January 1, 2025, the value-added tax (VAT) will be extended to urban public transportation, while VAT preferences for certain enterprises (such as those with a high proportion of disabled employees) will be eliminated.

The benchmark land tax and property tax rates have both increased by 10%, and income tax and turnover tax for e-commerce have also been raised. These measures aim to optimize the business environment and increase fiscal revenue.

In terms of social policy, poverty reduction has become a key focus of the year. The government has set a target of reducing the poverty rate to 6% by the end of 2025. Through seven major measures, including job creation, education development, support for women's entrepreneurship, and expanded healthcare, Uzbekistan has lifted 7.5 million people out of poverty, reducing the poverty rate to 8.9% in 2024.

02 Green Energy Transition and Electric Vehicle Popularization

By 2025, Uzbekistan has made significant progress in the field of green energy. According to the "Uzbekistan-2030 Strategy," by 2030, the installed capacity of renewable energy will reach 25,000 MW, increasing its share of electricity generation to 40%. In that year, Uzbekistan's installed renewable energy capacity reached 5,166 MW, accounting for 24.4% of the total installed capacity.

Solar and wind power projects are progressing rapidly. A 1 GW photovoltaic project invested by Chinese companies has achieved full-capacity grid connection, generating 2.4 billion kWh of electricity annually and reducing carbon dioxide emissions by 2.4 million tons annually. Goldwind Technology's wind power project in Zaravshan officially commenced operation, becoming the largest operational wind power project in Central Asia.

Electric vehicle adoption is leading the region. By 2025, the proportion of imported electric vehicles in Uzbekistan will reach 55.7%, surpassing that of gasoline-powered vehicles. The government mandates that newly built commercial centers, gas stations, hotels, and other locations must be equipped with charging stations, with plans to increase the number of charging stations to 2,500. Chinese brands such as BYD, Geely, and Great Wall Motors have entered the Uzbek market. BYD's factory in Jizzakh Oblast has an annual production capacity of 50,000 vehicles.

03 Diversified Diplomacy and BRICS Cooperation

Uzbekistan continues to pursue a balanced and pragmatic foreign policy in 2025. In July, Uzbekistan became a partner country in the BRICS cooperation mechanism and joined the BRICS New Development Bank. This move aims to diversify development financing, expand diplomatic reach, and increase economic influence while maintaining strategic autonomy.

Uzbekistan does not view participation in "BRICS+" as geopolitical alignment, but rather as an extension of a broader diplomatic approach. The country cooperates with the United States through the C5+1 mechanism, has signed an investment agreement with the European Union, and is deepening cooperation with China, Gulf states, and South Korea.

Regarding relations with the United States, Uzbekistan remains a key pivot in US policy in Central Asia and a recipient of aid from mechanisms such as the US International Development Finance Corporation.

Relations with China have been further enhanced. In November 2025, the foreign ministers of the two countries held their second strategic dialogue, emphasizing the building of a China-Uzbekistan community with a shared future. The commencement of construction on the China-Kyrgyzstan-Uzbekistan railway is particularly crucial, with an estimated annual freight volume of 15 million tons, significantly enhancing Uzbekistan's status as a regional logistics hub.

04. Opening of the China-Kyrgyzstan-Uzbekistan Railway and Regional Connectivity

In 2025, the China-Kyrgyzstan-Uzbekistan railway project made substantial progress. Once completed, the railway is expected to handle 15 million tons of freight annually, shortening transport time by 7 days, and significantly enhancing Uzbekistan's status as a regional logistics hub.

For this doubly landlocked country, the railway is a key channel to break geographical limitations and achieve "access to the sea." Uzbek President Mirziyoyev stated that the China-Kyrgyzstan-Uzbekistan railway connects Central Asia and China via the shortest route, fully aligning with the goals of the Belt and Road Initiative.

This railway will promote the diversification of Uzbekistan's exports and help it integrate into the global value chain. Meanwhile, Uzbekistan has also launched the construction of a large-scale multimodal transport logistics center on the Syr Darya River, further improving the efficiency of freight transport between China and Central Asia.

These infrastructure projects not only bring economic benefits but also strengthen Uzbekistan's strategic position as a transportation hub in Central Asia, giving it more say in regional economic cooperation.

05. Cultural Exchange and Scientific and Technological Cooperation

By 2025, Uzbekistan has made significant progress in cultural exchange and scientific and technological cooperation. In July, the "Walking the Silk Road, Exploring Central Asia" transnational book publishing exchange activity was held in Uzbekistan, and the first overseas "Silk Road Bookshelf" was unveiled in Tashkent, featuring over 400 Chinese-themed books.

These activities have promoted cooperation between publishing institutions in China and Uzbekistan, including the signing of substantive cooperation projects such as copyright export and book translation.

In the field of science and technology, Uzbekistan is actively promoting digital transformation. The government issued the "Draft Law on the Protection of the Rights of Users of Online Platforms and Websites" in the first half of the year, strengthening the regulation of online content dissemination. The bill clarifies the responsibilities of online figures such as bloggers and influencers, requiring them to be accountable for the authenticity of the content they disseminate.

In education, Uzbekistan continues its "Million Programmers" program, with over 500,000 participants and female participation in STEM fields rising to 37%. The expansion of higher education and internationally aligned training programs have built up human capital for Uzbekistan's industrial upgrading.

Looking at 2025, Uzbekistan delivered a remarkable performance. Economic growth reached 6.5%, foreign trade bucked the trend with a 3.8% increase, and the poverty rate continued to decline. These figures are the result of eight years of structural reforms.

With the advancement of the China-Kyrgyzstan-Uzbekistan railway and the implementation of green energy projects, Uzbekistan is transforming from a doubly landlocked country into a logistics hub connecting east and west and a green energy center.

The transformations of 2025 lay the foundation for Uzbekistan's 2030 goals—a per capita GDP of $4,000, 40% renewable energy, and the complete eradication of absolute poverty. This Central Asian country is writing a new chapter in the "going to sea" strategy for a doubly landlocked nation on the Gobi Desert.