1GW is just the beginning. Our September exhibition will witness the full entry of Chinese enterprises into Azerbaijan!

With the continuous advancement of the “Belt and Road Initiative”, Chinese-funded enterprises are accelerating their exploration of the green energy and urban construction markets in Central Asia and the South Caucasus. Recently, Arctech signed a 1GW contract with POWERCHINA for the largest photovoltaic project in Azerbaijan’s history, marking the large-scale commercial application of China’s photovoltaic technology in the complex environment of high temperatures and strong winds in Central Asia. Meanwhile, Guangdong enterprises such as Faleo Lift and Digital Team Technology have also entered the market in a concentrated manner. The Azerbaijani market is becoming an important outpost for Chinese manufacturing to “go global”.

I. Arctech signed a 1GW photovoltaic project in Azerbaijan, setting a new record in China

In early June, Arctech and POWERCHINA (CEEC Northwest Institute) signed a photovoltaic power station cooperation agreement in Azerbaijan, covering Bilasuvar and Banka, with a total installed capacity of 1GW. Among them, the Villarsu-val project has become the largest photovoltaic power station under construction in the country.

The project adopts the SkyLine II intelligent tracking system independently developed by Arctech, which has multiple advantages such as flood resistance, wind resistance, modular installation, and intelligent algorithm-driven. The annual power generation is expected to reach 1.53 billion kilowatt-hours, reducing carbon dioxide emissions by 1.15 million tons annually, benefiting more than one million households.

This is another “technology + service” output following the completion of Azerbaijan’s first large-scale grid-connected photovoltaic project by China Information Technology Expo in 2023, demonstrating the leap of Chinese new energy enterprises in Central Asia from pilot exploration to large-scale implementation.

II. “Mutual Pursuit” : China-Arab cooperation has entered a new stage of institutionalization

On June 5^th, China-Azerbaijan Economic and Trade Cooperation Exchange Conference, jointly organized by the Azerbaijan Export and Investment Promotion Agency (AZPROMO) and the China Council for the Promotion of International Trade (CCPIT) Guangdong Provincial Committee, was successfully held in Baku. During the meeting, the two sides signed a Memorandum of Understanding (MoU) on regular industrial cooperation, investment connection and joint exhibition participation, marking that China-Arab economic and trade cooperation is moving from forum dialogue to mechanism coordination.

The signing representatives, Yusuf Abdolayev and Bai Mingshao, respectively stated that they will actively promote China’s in-depth participation in green energy, digital technology, intelligent manufacturing and other fields, and build a platform for Chinese-funded enterprises to “go global”.

Data shows that the bilateral trade volume between China and Arab countries exceeded $1.4 billion in January-April 2025 alone, up 37% year-on-year. China has become Azerbaijan’s fourth largest trading partner.

III. Feleo Lift and Digital Team Technology make their debut in Baku, and Guangdong enterprises expand into the construction and smart city markets

Apart from Arctech, Faleo Lift from Foshan, Guangdong Province, also made its debut in the Azerbaijani market at this exchange meeting. The company’s person in charge stated that Faleo plans to take advantage of the construction boom of high-rise buildings in Baku and other places to promote the localization of its products and seek installation and service partners.

Furthermore, the Chinese digital technology company “Digital Team Technology” has also signed a joint venture agreement with the Azerbaijan Dream Group, planning to establish joint enterprises in areas such as artificial intelligence and smart cities, and create a digital demonstration platform for Central Asia and the Caspian Sea region.

The entry of these “medium-sized enterprises going global” indicates that Chinese manufacturing is shifting from an export model to a deeper focus on “localization + branding + service orientation”.

IV. Energy transition and urban renewal: Azerbaijan Unleashes Two Major “investment dividends”

Green transition: According to Azerbaijan ‘s Renewable Energy Development Strategy, the country plans to have 6GW of renewable energy installed capacity by 2030, with photovoltaic power taking the lead. Under the dual goals of “carbon neutrality” and “energy independence”, Chinese enterprises have broad opportunities in EPC general contracting, equipment manufacturing, energy storage systems and other links.

Acceleration of urban development: Especially in Baku, a new round of urban renewal plans and housing construction boom are driving strong demand for supporting facilities such as elevators, power systems, smart buildings and green building materials. Since 2023, the annual growth rate of the country’s construction industry has exceeded 5%, and the enthusiasm for real estate investment has significantly increased.

Combined with the Alat Free Economic Zone, export incentives for “Made in Azerbaijan”, and fast-track approval and tax incentives, Azerbaijan is creating a rare “high potential and low threshold” investment environment among emerging markets.

V. Smart Life Expo Azerbaijan 2025 in September will be the highlight!

Time: September 25^th to 27^th, 2025

Seizing the territory in Europe and Asia is not only an opportunity but also a new starting point

From the implementation of gigawatt-level projects to the institutionalized cooperation of local economic and trade organizations, and then to the localization trials of small and medium-sized enterprises – Azerbaijan is becoming a key landing point for Chinese enterprises to expand the Eurasian plate of the “Belt and Road Initiative”. Here, there are not only policy benefits for energy transition, but also systematic demands for urban construction and digital upgrading.

In the future, how “Made in China” and “Chinese wisdom” will take root in Central Asia is worth the continuous attention of everyone who pays attention to going global and international industrial trends.