Coal-rich Mongolia aims to boost China trade ties despite dependence risk www.japantimes.co.jp
Mongolia hopes to boost trade by more than a tenth this year with China, the biggest destination for its exports of coal and minerals, setting a target that will further boost economic dependence on its giant neighbor.
Two-way trade is expected to reach $20 billion this year, President Ukhnaa Khurelsukh told Chinese Foreign Minister Wang Yi in Ulaanbaatar, the capital, over the weekend, on the latter’s first visit in nearly four years.
That represents a jump of more than 10% from 2025, despite the Iran war constraining the economic outlook for the world’s second biggest economy at a time of languishing domestic demand.
Two-way trade fell to $17.7 billion last year from $18.3 billion in 2024, Chinese customs data shows.
In a joint statement on Monday, the neighbors agreed to boost economic and trade ties, but gave no specific target on trade.
Every 1% of growth in China’s economy can drive an increase of 4% in Mongolia’s exports and boost its economic growth by 0.6%, Wang told a news conference on Saturday after meeting his Mongolian counterpart, citing estimates by international bodies.
“The trade momentum is quite positive,” said Xu Tianchen, senior analyst at the Economist Intelligence Unit. “Mongolia’s copper output is rising, and China stands ready to take it.”
China’s demand for Mongolian coal is also likely to grow, he said, after a mining disaster killed 82 people in northern Shanxi, putting pressure on domestic coal supplies.
Landlocked Mongolia, sandwiched between China and Russia, exported more than 80 million metric tons of coal last year, almost all to its southern neighbor, Chinese customs data shows.
Connectivity will be further boosted by a second cross-border railway link now being built between the countries, Wang said.
“All eyes are on the completion of the Gashuunsukhait-Gantsmot border crossing railway, which will facilitate trade even further,” added Xu.
China will supply 1 million doses of vaccine to help Mongolia tackle a recent outbreak of foot-and-mouth disease in its livestock, Wang said.
As ties grow, Khurelsukh pledged that Mongolia would refrain from any actions that harm China’s interests, regardless of relations with third countries.
Published Date:2026-06-16





