Chinese firms look to expand trade in Central Asia

Local women praying at the Shahr-i-Zindah Mausoleum, Samarkand, Uzbekistan. [File photo/IC]

Besides ceramic tiles, Chinese factories at the industrial park produce mobile phones and leather products. They employ more than 1,100 people, 80 percent of them locals.

Wang Xinghe, manager of the park, said: "Uzbekistan started to attract foreign investment in 2009, especially for industrial businesses. We've been given many preferential policies, including cheap rent for land and tax exemption."

The park is linked to a railway, enabling products to be distributed in Uzbekistan and the region.

Wang said Uzbekistan is building its third special economic zone, which is targeting Chinese companies.

"Uzbekistan's stable social and political situation, large population and key geographical location are the main factors attracting Chinese businesses, but low productivity is a big problem," Wang said.

"Some equipment we shipped from China need to wait for days before entering the country, which could affect production."

Wang said Chinese businesses also benefit from frequent meetings between President Xi Jinping and his Uzbek counterpart Islam Karimov.

"The idea of the new Silk Road Economic Belt proposed by Xi has created a platform to discuss business opportunities both at high level and among local companies from China and Uzbekistan," he said.

Revival of ancient Silk Road 'essential' for Asian nations	Kazakh students say Silk Road will pave way for career openings