Business & Economy KG RU

Kyrgyzstan pins hope on Chinese refinery to reduce dependence on Russian gasoline import

Presidential Representative for Special Assignments Bakyt Torobayev recently visited the modernized Junda (Zhongda) oil refinery and ordered its management to increase motor fuel production in an effort to reduce Kyrgyzstan’s dependence on gasoline imports.

Junda is Kyrgyzstan’s largest oil refinery, located in the town of Kara-Balta, 60 kilometers west of Bishkek.

The refinery is undergoing a major modernization project scheduled for completion by July 31, 2026. The $193.75 million upgrade is expected to increase domestic fuel production and strengthen the country’s energy security.

Owned by a Chinese investor, the refinery has an annual crude processing capacity of 800,000 tons, producing gasoline, diesel fuel, and liquefied petroleum gas. The modernization is intended to upgrade technical infrastructure and improve operational efficiency.

Following Torobayev’s visit on June 30, the refinery is expected to soon reach a monthly production volume of 24,000 tons of gasoline and increase the output to 50,000 tons by the end of this year.

Torobayev ordered the refinery to organize cooperation with the state-owned Kyrgyz Oil Corporation, which will supply the refinery with crude oil for processing. All fuel produced should be sent to the domestic market to ensure a stable supply.

Kyrgyzstan has introduced temporary state regulation of motor fuel prices amid continued increases in the cost of gasoline and diesel, which the country imports largely from Russia.

The government will subsidize imports of gasoline, diesel fuel, and liquefied petroleum gas from May 25 through September 30, 2026.

In recent weeks, several Russian regions have imposed restrictions on gasoline sales due to reduced Russian refinery output after Ukrainian drone strikes on oil-processing facilities.

Russia has also temporarily imposed a complete ban on the export of gasoline and jet fuel.

Kyrgyz First Deputy Prime Minister Daniyar Amangeldiyev told 24.kg news agency on June 30 that Kyrgyzstan will not be left without fuel after Russia’s fuel export ban.

According to Amangeldiyev, the Kyrgyz Cabinet of Ministers has already promptly addressed the issue of duty-free fuel imports from Russia. The current import mechanism will be extended, and all necessary decisions are currently being finalized.

Amangeldiyev assured that the situation in the Kyrgyz fuel market remains stable and the government is taking the necessary measures to prevent a shortage of gasoline, diesel, and jet fuel in Kyrgyzstan.

At present, local refining capacity reportedly meets only about 5% of domestic fuel demand. Kyrgyzstan consumes approximately 1.6 million tons of motor fuel annually, more than 90% of which is imported from Russia.

After the completion of the modernization project, the Junda refinery could potentially meet 50%-70% of Kyrgyzstan’s demand for motor fuel.

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