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Making the Most Out of Growing US-Uzbekistan Trade and Investment 

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The purchase of U.S.-made commercial aircraft and an Uzbek company’s historic opening of a manufacturing facility in Kentucky demonstrate the dynamic and growing economic relations between the United States and Uzbekistan. As U.S. diplomatic engagement with Tashkent increases – new contracts and trade and investment frameworks signed – understanding each country’s priorities and objectives will help explain this new chapter of the partnership. Moreover, stronger trade and investment numbers must translate into employment opportunities and an improved quality of life for the Uzbek population.

Relations between Washington and Tashkent have generally strengthened over the past couple of years. U.S. President Donald Trump and Uzbek President Shavkat Mirziyoyev will next meet in December, as Trump has invited the Uzbek leader to be a guest at the G-20 summit in Miami.

Stronger diplomatic links are translating into trade and investment deals. In June, the U.S. Trade Representative (USTR) Ambassador Jamieson Greer visited Tashkent and signed “an early harvest of trade commitments to strengthen the bilateral economic and investment relationship.” Specifically, Tashkent committed “to eliminate or reduce tariffs” on U.S. industrial goods and agricultural products. In contrast, Washington committed “to provide favorable consideration” in tariff actions for Uzbekistan’s industrial goods and agricultural products. The two sides are also working to conclude an Agreement on Reciprocal Trade and Investment.

Also in June, the U.S. International Development Finance Corporation (DFC) launched the U.S.-Uzbekistan Joint Investment Platform, which will “aim to identify strategic investments in Uzbekistan for U.S.” in areas like energy, infrastructure, critical minerals, transportation and logistics infrastructure.

The topic of investment in critical minerals, energy, and transportation was also reportedly discussed during a meeting between Mirziyoyev and Sergio Gor, the U.S. special envoy for South and Central Asian affairs, on the sidelines of the recent Shanghai Cooperation Organization (SCO) summit in Bishkek, Kyrgyzstan.

This activity builds upon the momentum of earlier deals. In 2025, Tashkent announced a $8.5 billion deal to buy as many as 22 Boeing 787 Dreamliner aircraft to modernize the country’s commercial aviation industry. The aircraft will allow direct, long-distance flights with the United States, increasing connectivity and tourism.

Investment now goes both ways, breaking stereotypes and assumptions of the U.S. being the only actor in the Central Asia-U.S. relationships that invests on the other side. The Uzbek company AFKA is building a manufacturing facility in Bowling Green, Kentucky. It will be the first Uzbek manufacturing company to operate in the U.S. The groundbreaking ceremony took place in July, and when complete, the AFKA Aluminum Solutions plant will employ 331 people, supporting the local economy and strengthening bilateral commercial ties.

Stronger economic links between the two governments occur at a time when Tashkent is looking to develop the entire country, not just the capital. For example, the historic city of Khiva is getting a face-lift through the expected construction of a conference hall, a 3-star hotel, and a reception house, which will create jobs and attract tourism. Plans also include building a toll road and a railway to connect the Urgench airport with Khiva. Other plans include modernizing regional airports to improve domestic and international connectivity.

As for Nukus, the capital of the Republic of Karakalpakstan, the goal is to upgrade the city’s public transportation via a loan from the European Bank for Reconstruction and Development.

From Washington’s perspective, there is a new race on to access resources like oil, gas, and especially critical minerals. Central Asia has been blessed with many of the resources that the world’s great powers desire. Central Asian governments like Uzbekistan view this situation not as a game or a race but as an opportunity to build new commercial partnerships and attract investors. While the Trump administration continues to focus on energy, minerals, and transportation infrastructure as vital areas for future investment and trade, Tashkent can hopefully also redirect U.S. interest to other projects and industries.

For example, during the November 2025 summit between Trump and the five Central Asian leaders, Washington pledged to explore “the expansion of a partnership in the upcoming sale and privatization of UzAuto Motors” in addition to a potential $3 billion investment from Air Products for a methanol production facility in Uzbekistan. The Uzbek government aims to generate 54 percent of its power from renewable sources by 2030. Washington and Tashkent hope to encourage U.S. companies to invest in this field.

There are limitations to consider, specifically the Jackson-Vanik Amendment, which denies permanent normal trade relations to Uzbekistan. To be fair, while the amendment irritates political relations, its impact on bilateral trade and investment is negligible. Tashkent has, for decades, received temporary normal trade relations through annual presidential waivers.

Moreover, even if U.S.-Uzbek trade grows considerably, it will still be dwarfed by trade between Uzbekistan and China, which reached between $7.7 and $8.9 billion in the first half of the year. Simply put, stronger U.S.-Uzbek trade and investment ties will not dramatically create a new architecture of priority partners for Uzbekistan.

There is also a domestic component to consider: Uzbekistan has the region’s largest population, with around 39 million (according to a new census), and a vast young workforce who deserve jobs and a future in their homeland. Unfortunately, a significant portion of the population lives below the poverty line, and unemployment is still problematic, more than a million Uzbeks migrate abroad for work every year.

As in many countries, wealth and development concentrate in the capital. While the examples of regional infrastructure development mentioned in this commentary are positive, a 2025 study conducted by the National Statistics Committee of Uzbekistan in collaboration with the World Bank showed that the largest numbers of poor residents were recorded in the Samarkand region (265,000 people), as well as in Fergana (239,000), Kashkadarya (238,000), and Andijan (214,000) regions.

In other words, Uzbekistan must invest more in infrastructure projects and economic growth across its regions, not just the capital.

In a September 3 speech, Mirziyoyev said a new system to reduce poverty and unemployment across the country will be introduced. This new strategy must be monitored to ensure it promotes employment and helps low-income individuals, rather than falling victim to bureaucratic incompetence or corruption.

As interest in Central Asia’s natural resources continues to grow, it is also important to understand the priorities of the five Central Asian governments. In Uzbekistan, the momentum is to diversify the country’s energy production and bring development to areas outside Tashkent. Washington and American industries must keep Tashkent’s priorities and objectives in mind to secure win-win contracts and agreements and ensure this partnership continues as the so-called race for critical minerals heats up.

For Uzbekistan’s population, particularly those living outside Tashkent, this stronger partnership must mean more jobs, economic growth, and a better quality of life.

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