Why China Is Building More Factories in Kazakhstan
Illustration: envato
Kazakhstan was the world’s largest recipient of Chinese greenfield investment in manufacturing between 2021 and 2025, ahead of Vietnam, Mexico, Egypt and the European Union as a whole, Orda.kz reports, citing UNCTAD data.
Greenfield investment refers to projects that create new businesses and production facilities from the ground up.
According to the Kazakh government, the country attracted $19 billion in greenfield projects in 2025, accounting for 89% of all such investment in Central Asia.
Across all forms of foreign direct investment, the Netherlands was Kazakhstan’s largest investor, contributing $4.6 billion. Russia followed with $2.9 billion, China with $2.8 billion, the United Arab Emirates with $1.6 billion and Singapore with $1.4 billion.
Source: UNCTAD, на основе информации The Financial Times Ltd, fDi Markets
TradeReport analysts said American, European and other Western investors remain active in Kazakhstan. However, their most prominent projects are still concentrated in extractive industries, critical minerals and selected parts of the food sector.
Chinese investment differs by generating a broader pipeline of new manufacturing projects. Analysts said the UNCTAD data indicated that China increasingly viewed Kazakhstan not only as a source of raw materials but also as a location for production.
Original author: Alexander Smolin
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