The "Bulgan Tushig" company of Mongolia and the "Huangcheng Energy" company of the Xinjiang Uygur Autonomous Region of the People’s Republic of China concluded a cooperation agreement on the establishment of the first rebar factory in the western region of Mongolia.

Mongolian and Chinese parties organized the "Khovd-Xinjiang" business forum on March 29, 2024, and during the forum, the agreement was signed.

The rebar factory will have an annual capacity of 50,000 tons that fully meets the iron and rebar demand of the western region. The construction of the factory will start in May of this year and is expected to be fully operational in October 2024. Having the rebar factory, the western region will be able to domestically produce cement and steel reinforcement, which make up 70 percent of the building materials.

"Khovd-Xinjiang" business forum was organized by the Ministry of Foreign Relations of Mongolia, the Ministry of Road and Transport Development of Mongolia, the Embassy of Mongolia to the People’s Republic of China, the Mongolian National Chamber of Commerce and Industry jointly with the People’s Government of the Xinjiang Uygur Autonomous Region and the China Council for the Promotion of International Trade.

About 60 businessmen from the western region of Mongolia and more than 100 enterprises from Xinjiang participated in the forum and exchanged experience in the fields of agriculture, animal husbandry, tourism, leather and clothing processing industry, construction, building materials, and transport logistics.

During the forum, a cooperation agreement was also signed between Khovd Industrial Park and "Yi Tian" LLC of Xinjiang, China. The forum was considered as a stimulus to restore the economic and transport logistics relations between the western region of Mongolia and the Xinjiang Uygur Autonomous Region, China, which had been stagnant for the past 15 years. . Minister of Road and Transport Development of Mongolia Byambatsogt Sandag and Ambassador Extraordinary and Plenipotentiary of Mongolia to the People’s Republic of China Badral Tuvshin attended the forum.