Ulaanbaatar, June 10, 2025 /MONTSAME/. “Tavantolgoi Railway” LLC of Mongolia and “China Railway Construction Bridge Engineering Bureau Group” Ltd of the People’s Republic of China have finalized and signed the Contract for the Construction of the Gashuunsukhait-Gantsmod Cross-Border Railway.

The Signing Ceremony was attended by Acting Minister of Road and Transport of Mongolia Delgersaikhan Borkhuu, Head of the Department of Railway and Maritime Transport Policy and Coordination of the Ministry of Road and Transport Kh. Itgelt, Executive Director of “Tavantolgoi Railway” LLC B. Dugerjav, Ambassador Extraordinary and Plenipotentiary of the People’s Republic of China to Mongolia Shen Minjuan, Economic Advisor Liu Jingzhi and Secretary of the Economic and Trade Department of the Embassy of the People’s Republic of China in Mongolia Cao Yue, Deputy General Manager of “China Railway Construction Bridge Engineering Group” LLC Li Guoqiang, and General Manager of “China Railway Construction Bridge Engineering Group International” LLC Xie Xiaoche.

The base structure of the railway, including the cross-border railway bridge, a station for broad and narrow gauge tracks, technological buildings and facilities are planned to be put into operation within 24 months, and on the 15th of this month, the Mongolian and Chinese sides will drill the first pier foundation of the bridge.

The Gashuunsukhait-Gantsmod Cross-Border Railway Project will boost Mongolia's coal export volume, transport and logistics capacity, and economic growth. The implementation of the Project will facilitate the connection between the Shiveekhuren-Sekhee, Bichigt-Zuunkhatavch, and Khangi-Mandal ports on the Mongolian and Chinese borders by rail, as agreed upon by the Intergovernmental Agreement. As a result, coal exports will increase from 83 million tons to 165 million tons, raising annual export revenue by USD 1.5 billion, and contributing to Mongolia's GDP per capita reaching USD 10 thousand. It is also estimated that transportation costs will decrease by 2-2.5 times, export output will increase by 30 million tons, and transportation revenue will increase by USD 300 million. In addition, 200 permanent and 800 temporary jobs will be created, which will be a leverage in supporting regional development and employment.

The 32.6 km first-class railway will have dual tracks, with 1,520 mm broad gauge and 1,435 mm standard gauge, 19.5 km of main line and single- and double-track bridge structures 8–31 meters high. Its design capacity is 30 million tons of freight annually on the broad gauge and 10 million tons on the standard gauge. Under relevant legislation, the State Procurement Agency of Mongolia conducted the contractor selection and awarded "China Railway Construction Corporation" (CRCC) the contract. Its subsidiary “China Railway Bridge Engineering Bureau Group” will carry out construction.

Listed first among the 14 mega-projects in the Government’s 2024–2028 program, the cross-border railway is being developed under an Inter-Governmental Cooperation Agreement signed in Harbin on February 14, 2025, and ratified by the State Great Khural on March 27, 2025. The Agreement covers three initiatives, including joint construction of the cross-border railway, a long-term coal purchase-and-sale contract, and expansion of coal-mine capacity. The “Joint Construction of the Cross-Border Railway” agreement was finalized and signed on 14 May, followed by a joint groundbreaking ceremony. This will be the second cross-border railway to be built after the Zamyn-Uud-Ereen railways established under the 1955 Agreement between Mongolia and the People's Republic of China.