The EU is studying the investment needed to improve trade routes between Europe and Central Asia via the Caucasus.

The Trans-Caspian Corridor, a rail and port route connecting Europe, Turkey, the rest of the Black Sea region, Armenia, Azerbaijan and Central Asia, is becoming an alternative trade route linking the two continents. Since 2022, trade on this route has quadrupled and, with the right investments, could triple by 2030.

To help turn this momentum into practical projects, the European Commission has today published anEU-funded meta-study highlighting where investment is needed to strengthen transport, trade, energy and digital connections along the corridor.

The study highlights key sections where infrastructure is poor, outdated or inadequate for current volumes. It provides a solid basis for setting investment priorities in line with EU plans to rebuild trade routes to Central Asia through the Southern Caucasus. A practical guide to investment will give governments and the private sector a clear picture of where their capital can make a difference in building modern and reliable infrastructure. 

European Commissioner for Enlargement MartaKos said:“Freight transport on the trade routes linking Europe and Asia through the Southern Caucasus and Turkey is growing rapidly. However, much of the infrastructure is old and outdated, so investment is urgently needed. Such investment will only materialise if governments and businesses are clear about where it will be profitable. The study we are publishing today shows where improvements in railways, ports, border procedures, energy links and digital connectivity will make the biggest difference.”

Transport, trade, energy and digital links in the spotlight 

The meta-study is structured around three key pillars: transport and trade, energy, and digital.

Transport and trade

The study highlights the strategic importance of the Trans-Caspian Transport Corridor as a reliable alternative trade route to Asia. To streamline the transport of goods, it recommends more fluid and harmonised border regulations. And given that the investment needs are excessive for public budgets, it points out that public-private partnerships are essential to modernise infrastructure along the corridor. The study also highlights the growing role of Ukraine and Moldova in Europe’s efforts to diversify and strengthen its transport network.

Energy

The study identifies opportunities to diversify energy connections, ensure reliable electricity connections, and support decarbonisation efforts. It argues that more robust and modernised electricity grids, coupled with increased use of renewable energy, are essential to increasing energy security in a changing geopolitical environment. It also encourages cooperation with experienced private sector partners to develop reliable, large-scale infrastructure.

Digital

The study highlights the growing strategic importance of secure data routes. It calls for alternative fibre optic corridors, the installation of fibre alongside energy and transport projects, and the creation of new internet exchange points. Satellite links are also highlighted as a tool for resilience in areas where terrestrial networks are weak. The study emphasises collaboration with trusted technology partners, improving cybersecurity, complying with European and international standards, and supporting emerging technologies such as AI and local start-ups.

Background

As part of the EU Global GatewayStrategy, theInterregional Connectivity Agenda aims to improve links between the EU and Central Asia via Turkey and the Southern Caucasus by coordinating strategic investments and regulations. The goal is to boost trade and socio-economic development through resilient and efficient transport, energy and digital networks.

The Connectivity Agenda was launched at theInterregional Ministerial Meeting on Security and Connectivity in Luxembourg on 20 October 2025 and will be further advanced atthe Trans-Caspian Transport and Connectivity Corridor Investors’ Forum in Tashkent, Uzbekistan, on 27 November 2025. Participants at both meetings confirmed the importance of deepening cooperation in areas of common interest, strengthening mutual resilience and promoting more connected, secure and prosperous regions. They also confirmed that the Trans-Caspian Transport Corridor has evolved from an ambitious route to a strategically essential one, reflecting geopolitical changes and the vulnerabilities of the Northern Corridor.

TheEU4Digital Initiativeis the EU’s regional programme supporting digital transformation and the harmonisation of digital markets in the Eastern Partnership countries. It aims to boost interoperability, cross-border data exchange and regulatory harmonisation, in line with EU standards.

*Following the conclusions of the European Council in June, October and December 2024 on political developments in Georgia, the European Commission suspended bilateral financial assistance directly benefiting the Georgian authorities, while projects related to regional connectivity are being assessed on a case-by-case basis.

More information: European Commission.