90.6% of the total trade consists of coal.

As of December 13, 2024, a total of 24.55 million tons of mining products have been traded for 8.85 trillion MNT, according to the Mongolian Stock Exchange. Coal accounts for 90.6% of the total trade, 9.2% is iron ore, and the remaining portion consists of products like fluorspar and copper concentrate.

It was noted that sellers have gained an additional income of 796.1 billion MNT due to price increases. Looking at last week’s trade, iron ore with 52% purity was the most traded product. However, the majority of the traded value still comes from coal transactions.

Since the beginning of December, "Mongolrostsvetmet" SOE has sold 19,800 tons of iron ore with 52% purity. At the start of the month, the price per ton of 52% purity iron ore was $65, but by December 12, the price had decreased to $63.5 per ton.

Translated by ChatGPT

When Trafigura Group director Mark Irwin stood up earlier this month to give evidence in a Swiss criminal court, it represented a pivotal moment in the relationship between the world’s commodity traders and the country that many of them call home.

Until now, Swiss prosecutors had never put a commodity trading house on trial. In fact, they’d never tried any company for corruption at all.

Irwin, who was one of Trafigura’s earliest employees, was the company’s official representative at the federal criminal court in the picturesque alpine town of Bellinzona, where Trafigura and three individuals — including former chief operating officer Mike Wainwright — faced charges of bribery in a landmark case. All four defendants denied the charges against them.

The testimony from a procession of current and former senior figures at Trafigura meant the case has provided an unprecedented glimpse into decision making at one of the world’s biggest commodity traders, a company that handles enough oil every day to meet the combined demand of Germany, France and Spain. But it’s also served to highlight a shifting stance in Switzerland, which has long been known for its light-touch regulation.

Instead, federal prosecutors were accused by Trafigura’s lawyers of being on a “crusade,” while a lawyer for Wainwright argued his client was being unfairly made an example of to show the country was cracking down on the sector.

“Switzerland became a leading commodities hub thanks to a unique combination of tax privileges, its financial industry, weak regulation and a lax embargo policy,” said Adrià Budry Carbó of Swiss NGO Public Eye. “In the Trafigura trial, federal prosecutors are for the first time opening up and scrutinizing a corruption machinery in a public trial, in order to establish the responsibility of individuals.”

It’s a far cry from the not-so-distant past, when commodity traders from all over the world flocked to Switzerland, lured by low taxes, political neutrality and business-friendly laws.

In the 1960s, Egyptian cotton merchants relocated to Geneva. Later, industry godfather Marc Rich chose the town of Zug for his eponymous trading house when fleeing US justice. He was followed by Russian oil and metals merchants in the 1990s.

But in recent years, mirroring a crackdown on corruption and market manipulation by commodity traders from US authorities, Swiss prosecutors have launched several cases against the industry.

Both Glencore Plc and Gunvor Group have been fined for historical corruption, though the cases were resolved without going to trial. Trafigura has said it had been willing to settle, but the Swiss prosecutors “decided to send the case to court.”

And so, over the past fortnight, a small army of lawyers descended on Bellinzona. On trial were not just Trafigura, but also Wainwright, the former COO, Thierry Plojoux, a former Trafigura employee who was an alleged middleman for bribe payments, and Paulo Gouveia Junior, an Angolan oil official who allegedly received the bribes.

At times, the court — which last saw major corporate action when Credit Suisse Group AG was convicted for laundering a cocaine dealer’s cash in 2022 — didn’t seem equipped to handle the volume of lawyers, public relations officials, observers and journalists.

On the first day of the trial, prosecutors complained that Trafigura’s vast team meant there wasn’t enough space in the courtroom. During breaks, defendants and witnesses, some of them multimillionaires, queued along with everyone else for the courthouse’s two toilets and one coffee machine.

The crackdown on corruption is happening at a time when Switzerland’s position as an epicenter for much of the world’s physical commodities trade is under increasing threat.

Singapore has wooed many of the world’s commodity traders with tax breaks — including Trafigura, which reorganized itself under a Singapore parent company in 2015, although its top executives are still based in Geneva. And Switzerland’s decision to mirror EU sanctions on some Russian commodities since 2022 has resulted in a significant shift in the companies handling those trade flows to Middle Eastern hubs like Dubai and Abu Dhabi.

Still, Switzerland doesn’t look like losing its status as a key hub for commodity trading any time soon. Swiss-based trading companies handle a third of the world’s trade in crude and oil products, according to the Swiss Commodity Trading Association SUISSENÉGOCE. In return “fiscal contributions” from trading represent 22% of Geneva’s budget, 10% in Zug and around 19% of Lugano’s income, according to the body.

The country’s famously low taxation rates mean it is still an attractive location for many trading businesses. Trafigura itself had an effective tax rate of just 2.8% on profits of $2.8 billion in its most recent financial year, it said in its annual report on Friday. Moreover, many traders receive the lion’s share of their compensation through the rise in value of their shareholdings in their companies — which, as capital gains, are not subject to Swiss tax.

Even Swiss corruption cases remain relatively easy for the traders to brush off. The country has a maximum corporate fine of 5 million francs ($5.6 million) on top of disgorgement of profits made in corrupt acts — a rounding error for companies that make billions of dollars in profits a year.

The Swiss trial comes at a sensitive time for Trafigura. The company is preparing for the second CEO handover in its history next month, when gas boss Richard Holtum will take over from Jeremy Weir. It has also this year pleaded guilty in a US court to historical corruption in Brazil, settled allegations it manipulated oil prices, and on Friday confirmed it took $1.1 billion in losses related to alleged employee misconduct in its Mongolian oil business.

In the case that concluded last week, the charge against Trafigura is that it allegedly failed to take the necessary measures to prevent bribes being paid. Much of the trial focused on the adequacy of the company’s compliance function during the period of 2009 to 2011, when it made payments to intermediaries, which paid around $5 million to Gouveia.

Irwin, who attended the trial as Trafigura’s representative, told the court that the company’s compliance team had been “very independent” in the period when the alleged bribes were paid.

Asked by the judges to explain the payments, he replied: “I cannot explain the payments to Mr. Gouveia.”

Prosecutors are seeking a total penalty of $157 million from Trafigura. Judges in the Bellinzona court usually take several months to deliver their verdict.

By: Archie Hunter and Jack Farchy

— With assistance from Hugo Miller

The Minister of Defense, S. Byambatsogt, and the Ambassador Extraordinary and Plenipotentiary of Japan to Mongolia, Masaru Igawahara, signed an agreement on the transfer of defense technology, equipment, and technology between the governments of Mongolia and Japan.

During President U. Khurelsukh’s official visit to Japan in 2022, it was announced that Mongolia and Japan had reached the level of a “Special Strategic Partnership for Peace and Development,” and they mutually agreed to develop cooperation on the transfer of defense technology, equipment, and technology between the two countries at this level.

Working groups were established, and the agreement on the transfer of defense technology, equipment, and technology was discussed and supported during a government meeting of Mongolia on September 18 of the past year.

With this agreement, the activities of the “Special Strategic Partnership for Peace and Development” between the two countries will be implemented.

The cooperation in the defense sector will enter a new phase, strengthening military trust in the region, creating an opportunity to receive modern defense technology and equipment from Japan, and enhancing the capacity of the Mongolian Armed Forces to carry out its duties. This agreement has significant importance.

The agreement will be submitted to the State Great Khural (Parliament) for ratification under the Law on International Treaties.

Commerce Minister Pichai Naripthaphan eyes rapidly growing market for Thai food, vehicles and investment

Commerce Minister Pichai Naripthaphan invited the Mongolian ambassador to Thailand for a discussion on trade cooperation on Monday morning, aiming to increase bilateral trade value to 3.1 billion baht within three years.

After meeting with Mongolian Ambassador Tumur Amarsanaa at the Commerce Ministry, Pichai stated that the discussion focused on expediting trade negotiations through the Thai-Mongolian Joint Trade Committee.

Pichai announced that Thailand is ready to host a meeting of the trade committee early next year, with the goal of boosting bilateral trade value to 100 million USD (approximately 3.413 billion baht) by 2027.

Thailand and Mongolia aim to boost trade to $100 million by 2027

The committee is also set to discuss plans to increase bilateral investment between the two countries to 1.5 billion USD by 2027.

Pichai noted that Mongolia, as a developing economy, is projected to experience GDP growth of 7% this year, making it a potential market for Thai products. He added that Thai goods are gaining greater acceptance among Mongolian consumers, who have expressed interest in importing more fruits and seafood from Thailand.

Furthermore, canned and processed foods from Thailand are also in high demand in Mongolia.

Thailand and Mongolia aim to boost trade to $100 million by 2027

The Commerce Minister extended an invitation to Mongolian businesspeople, through the ambassador, to attend trade fairs organized by the Commerce Ministry next year. These include THAIFEX-ANUGA Asia in May 2025 and the Bangkok Gems & Jewellery Fair in February and September 2025.

During the meeting, Pichai urged the ambassador to encourage the Mongolian government to facilitate Thai investors operating in Mongolia. He highlighted that Thai investors are already engaged in various sectors in Mongolia, including coal mining, healthcare services, and solar farms.

Pichai also emphasized the ongoing negotiations between the two nations on trade and investment protection, as well as a treaty to avoid double taxation, to bolster investor confidence.

Marking the 50th anniversary of diplomatic ties between the two countries, the Commerce Ministry has appointed an honorary trade envoy for Mongolia.

Last year, bilateral trade between Thailand and Mongolia amounted to 88 million USD, with Thailand exporting goods worth 21 million USD to Mongolia. Key exports included paper and paper products, beverages, vehicles and auto parts, and sugar.

Mongolia’s strategic position, between two geopolitical giants—China and Russia—has long made it a fascinating subject of international interest. However, its historical and spiritual ties to Tibetan Buddhism place it in an even more complex situation, particularly as succession of the next Dalai Lama approaches. With its economic ties to China, growing engagement with India, and cultural connections to Tibet, Mongolia now finds itself at a crucial juncture where religious, economic, and geopolitical interests intersect.

Mongolia is not simply a passive observer in the Dalai Lama’s succession but an active participant by default. The recent recognition of the 10th Jebtsundamba Khutuktu—a spiritual leader who holds dual citizenship in Mongolia and the U.S.—illustrates Mongolia’s commitment to preserving its deep-rooted spiritual heritage.

This recognition, while undoubtedly religious, is also a clear assertion of Mongolia’s autonomy in its spiritual decisions, signaling its resistance to external pressures, particularly from China, which seeks to control Tibetan Buddhism’s future.

Historically, Mongolia has resisted external interference in its religious institutions, maintaining ties to Tibetan Buddhism despite external pressures, such as during the Soviet era. This long-standing stance continues as Mongolia navigates the complexities of its spiritual and geopolitical landscape.

India’s increasing presence in Mongolia is more than just economic. The $1.2 billion investment in an oil refinery is part of India’s broader “Act East” policy, which aims to counterbalance China’s economic dominance in the region. While this economic support is crucial for Mongolia’s energy security, it also intersects with India’s strategic interest in Tibetan Buddhism.

By supporting the Dalai Lama’s religious authority, India positions itself as a counterpoint to China’s growing influence over Tibetan Buddhism. India’s role in promoting Tibetan Buddhism, particularly through Dharamshala, aligns with its broader foreign policy goals to increase influence in Central Asia and reduce China’s geopolitical sway. However, this soft power strategy raises questions about whether India’s engagement in Mongolia is purely economic or subtly entwined with religious diplomacy aimed at weakening China’s grip over Tibetan Buddhism.

China’s economic dominance in Mongolia, facilitated through its Belt and Road Initiative (BRI), gives it significant leverage. Yet, economic power alone does not explain Beijing’s approach to Tibetan Buddhism. The introduction of Order Number Five, which mandates Chinese state approval for the reincarnation of Tibetan Buddhist leaders, underscores China’s intent to control not just the economic but also the spiritual future of the Tibetan Buddhist community.

For China, the Dalai Lama’s succession is not just a religious issue—it’s a national security concern and a strategic opportunity to exert cultural and political influence over Mongolia. By attempting to assert control over Tibetan Buddhism, Beijing hopes to extend its reach into Mongolia’s spiritual institutions, thereby consolidating its influence over the country’s religious and cultural identity.

Mongolia’s leadership is caught between two powerful forces: the economic and political pull of China and the spiritual and strategic support offered by India. While Mongolia’s ties to Tibetan Buddhism are crucial to its cultural identity, its economic reliance on China makes it highly sensitive to Beijing’s demands. This delicate balancing act is even more complicated by Mongolia’s growing ties with the United States, which has increasingly engaged with Ulaanbaatar in recent years, potentially providing an additional counterweight to Chinese influence.

Mongolia’s challenge is to preserve its religious and cultural heritage while ensuring its economic survival. The decision to recognize the 10th Jebtsundamba Khutuktu, despite potential Chinese opposition, highlights Mongolia’s determination to maintain its spiritual independence. This stance not only reflects Mongolia’s desire to preserve its religious traditions but also signals its intent to navigate a path that protects its sovereignty.

The finding of the next Dalai Lama is more than a transition of spiritual authority; it is a moment of critical geopolitical significance. For Mongolia, how it handles this transition will have far-reaching implications. Its decision or non-decision will shape not just its own future but could influence the broader balance of power in Asia.

The involvement of external actors—India, China, the U.S., and even Russia—complicates the picture. While the U.S. has not explicitly intervened in Mongolia’s religious matters, its growing relationship with Ulaanbaatar suggests that it may be indirectly influencing outcomes. Similarly, Russia’s historical ties to Mongolia add another layer of complexity to the situation.

Mongolia’s ability to maintain its cultural identity while managing economic dependencies and navigating the competing influences of China and India will set a precedent for other small nations facing similar pressures from great powers. The stakes are particularly high for Mongolia, and its choices in the coming years will have lasting consequences for its role in the region and beyond.

Mongolia’s path forward is one of careful diplomacy and strategic maneuvering. As it faces growing pressures from China and India, it must balance its economic needs with its cultural and spiritual identity. The recognition of the 10th Jebtsundamba Khutuktu is just one example of Mongolia’s determination to assert its religious and cultural autonomy in an increasingly polarized geopolitical environment. How Mongolia handles the Dalai Lama’s succession—and the competing interests of regional powers—will determine its future as a sovereign and independent actor in the heart of Asia.

BY: Zhamsrangin Sambu is a freelance writer based in Seoul.

There has been an uptick in migration from Mongolia to Australia, As a result, New South Wales Public Schools have experienced a 40 per cent growth in students from Mongolian backgrounds for two years running - encouraging one school to become a hub for the community. And this story has been produced in collaboration with SBS Mongolian.

Listen to Australian and world news, and follow trending topics with SBS News Podcasts.

This is the school's principal Monica Marchiello.

“Over the last 18 months we've had an influx of students who speak Mongolian, that is more than a 100 per cent increase from last year.”

This increase has seen the school embrace Mongolia's language and culture - integrating bi-lingual elements into the classroom.

“We've put structures in place to not only support the students and their learning of English but also engaging the families, and being able to have them feel welcome, and belonging and inclusive.”

Kay Yasugi is one of the school's support teachers for students with English as an additional language or dialect.

“There weren't very many resources available, so we've really had to make our own. We have bilingual books, we make our own bilingual resources, we use online tools and we also have a Mongolian support teacher.”

A migrant from Mongolia herself, Miss Gana provides language support for both students and parents.

“At times it can be challenging moving to a new country and new environment, and adapting cultures, I have seen their experience and I have been there before, that's why I decided to come and help our kids and their families. When kids see me they will feel safe, that’s a very wonderful thing for me.”

The school is organising a celebration of Mongolian culture.

They're encouraging students to engage with activities from practicing the traditional Mongolian script, to learning Mongolian knucklebone shooting.

This is Gerelt, from the Mongolian Knuckle-bone shooting association.

“This is a traditional game for the younger generation to learn how to concentrate and how to feel your heart or brain. I'm very proud of that our young generation learns in Australia now.”

Wedged between China and Russia – migration from Mongolia has rapidly increased -

According to the 2021 Census, more than 5000 people living in Australia were born in Mongolia, an additional 7800 reporting Mongolian ancestry.

But Mongolia's ambassador to Australia, Mr Davaasuren ((Dav-ah-soo-ren)) Damdinsuren ((Dam-din-soo-ren)) suggests this figure has since almost doubled - with approximately 22,000 Mongolians residing in Australia, 60 per cent of those in New South Wales.

“Mongolia and Australia, we have very friendly relations. A lot of Mongolians come to Australia to study English languages.”

For parents at Concord West Primary School – they say it's important for their kids to keep a strong connection to their homeland.

“In his classroom maybe 8-9 Mongolian kids in there, he can talk to with them in Mongolian, it's very good to not forget the Mongolian language, especially the kids who are living abroad.”

Fostering community, connections and belonging – In a home away from home.

At its regular meeting, the Monetary Policy Committee (MPC) of the Central Bank of Mongolia decided to maintain the policy interest rate at 10 percent and increase the minimum reserve requirement in both domestic and foreign currency by 1 percentage point, reaching 11 percent and 16 percent respectively.

Annual inflation rose to 8.1 percent nationwide in November 2024, up from 7.0 percent in October, driven mainly by a significant increase in electricity prices. An increase in electricity price contributed 1.9 percentage points to November’s annual inflation, compared to 0.6 percentage points in October. In addition, the higher-than-expected price increases in services, rent, and imported goods, driven by accelerated domestic demand and rising wages, have further fueled inflationary pressure in recent months. The demand-side pressures from fiscal expansion as well as the indirect effects of the administrated price increases are expected to push inflation higher in the first half of 2025, followed by a gradual decline afterward.

The economy grew by 5.0 percent in the first three quarters of 2024. The slowdown was primarily driven by weakened activities in the construction and manufacturing sectors, alongside lower-than-expected production of copper and gold. As a result, the growth forecast for 2024 has been revised downward. However, economic growth is projected to pick up next year, supported by fiscal expansion, increased production of Oyu Tolgoi, and the easing of adverse effects from the recent dzud natural disaster.

With the inflation rate expected to stabilize within the target range by 2026, the MPC decided to keep the policy rate at 10 percent to maintain stable medium-term growth while avoiding excessive tightening of credit and financial conditions.

To prevent risk accumulation in the financial sector and ensure financial stability, the MPC also decided to raise the reserve requirements in domestic and foreign currency liabilities by 1 percentage point each.

These policy decisions align with the objectives of stabilizing inflation at the target level and ensuring macroeconomic and financial stability over the medium term, reported the Central Bank of Mongolia.

First drifting ice-driving experience with Lamborghini’s High Performance Electrified Vehicle (HPEV), Revuelto

Exhilarating driving emotions on the world’s most breathtaking winter driving playgrounds:– Lamborghini brings its signature Esperienza Neve to the snow-clad paradise of Yakeshi, Inner Mongolia for its first ever edition in China, where guests from the Asia Pacific region enjoyed an exclusive first opportunity to experience the Revuelto’s performance and dynamics on ice.

On the frozen expanse of Yunlong Lake, where temperatures dip as low as -20 degrees Celsius in the winter months, guests savoured a full course of winter driving exercises with a range of Lamborghini models. Participants were guided by professional Lamborghini instructors, ensuring both an exhilarating and safe experience. The Esperienza Neve program involves a series of exercises behind the wheel on low-grip surfaces and in different models, allowing every driver the chance to maximize their potential and discover the talents of Lamborghini super sports car and super SUVs on winter tracks. Guests also relish sideways thrills in the Huracán Sterrato, Huracán Tecnica, Urus Performante and Urus S, while honing their skills in extreme driving conditions.

Guests explored their driving abilities as well as the captivating prowess of the Revuelto, with the High-Performance Electrified Vehicle (HPEV)’s mesmerising powertrain – its naturally aspirated V12 and three electric motors – working in perfect synergy with its Lamborghini Dinamica Veicolo 2.0 system to deliver an exhilarating combination of immediate power, smooth traction and dynamic agility, even on snow. With the Urus Performante and Urus S, guests experienced the sure-footed handling characteristics of Lamborghini’s Super SUV models, with both models’ four-wheel steering enabling them to tackle challenging driving exercises on the ice track, while the rear-wheel drive Huracán Tecnica and Huracán Sterrato delivered emotive, race-oriented control on the slippery ice courses.

As part of its ongoing efforts to support Mongolia's forest conservation efforts and to strengthen the capacity of local fire suppression units, the UNDP’s “Strengthening Forest Firefighting Capacity Towards Green Recovery in Mongolia” project, funded by the Government of the People’s Republic of China through the Global Development and South-South Cooperation Fund of the China International Development Cooperation Agency (CIDCA), has delivered $350,000 worth of firefighting equipment to the National Forest Agency of Mongolia.

Over the course of the project, the goal is to equip 1,500 individuals, consisting staff of 38 forest units and 700 forest user groups across 16 provinces with firefighting gear, fire-protective clothing, and critical skills to manage and respond effectively to wildfire risks. In addition to the equipment, the project will offer comprehensive training for local communities and produce key resources such as forest fire model maps and a forest fire management finance plan, which will be finalized by February 2025. These efforts will significantly improve fire preparedness and resilience, providing crucial support for Mongolia’s forest conservation efforts.