This year marks the 30th anniversary of the signing of the "Customs Mutual Assistance Agreement" between the governments of Mongolia and South Korea. The tenth meeting of the heads of customs organizations of the two countries is being held in Seoul, South Korea, on 25-27 September.

Ko Kwang-hyo, Head of the Korea Customs Service, and R.Otgonjargal, Head of the General Department of Customs of Mongolia, discussed and agreed to cooperate in the following directions.

Implement risk management by increasing the ability to obtain information in advance and analyze it based on information technology to facilitate legal trade and combat illegal activities;

Ensure the security of the international trade supply chain, and implement the Mutual Recognition Agreement made within the framework of the Trusted Enterprise Program to facilitate trade;

Learn from the good experience of the Republic of Korea Customs, which created an electronic and digital environment that introduced advanced technology and innovation in customs operations;

Hold the next customs meeting of two countries in Mongolia in 2024.

Yesterday, the representatives of over 60 companies of the Inner Mongolia Autonomous Region of the People’s Republic of China took part in a business forum held at the Mongolian National Chamber of Commerce and Industry (MNCCI).

The Vice President of the International Trade Promotion Council of the Inner Mongolia Autonomous Region Miao Zeng Wei delivered an opening address of the Forum.

He noted that this year marks the 74th anniversary of the establishment of diplomatic relations between Mongolia and China, and the 10th anniversary of the "One Belt One Road" Initiative put forward by China, and said that the trade turnover between the two countries has exceeded USD 12.5 billion making 34 percent increase compared to the last year’s performance. Mr Miao Zeng Wei pointed out that it is remarkable that the International Trade Promotion Council of the Inner Mongolia Autonomous Region is co-organizing the "Business meeting on supply, trade, economy and investment of enterprises" with the Mongolian National Chamber of Commerce and Industry particularly at this time.

The President of the Mongolian National Chamber of Commerce and Industry D. Enkhtuvshin said at the opening of the Forum, "Our two countries have historical, traditional friendly relations and extensive business cooperation. In recent years, new business opportunities have been created, cooperation in many fields has intensified, and foreign trade and cooperation are growing more and more." He expressed gratitude for the arrival of a large delegation from the Inner Mongolia Autonomous Region seeking new business opportunities and new investment partnerships in Mongolia.

Increase of foreign trade between Mongolia and China in recent years shows that there is an opportunity to further expand the trade and economic relations between the two countries. In particular, the market of Inner Mongolia has always been the largest market for the Mongolian export goods, and the International Trade Promotion Council of Inner Mongolia and the Mongolian National Chamber of Commerce and Industry have been closely cooperating in this respect.

At the recent Trade and Investment Meeting between Mongolia, China and Russia organized in Ereen, and the Fourth Mongolia and China Expo held in Hohhot, Mongolia participated with a large number of companies presenting investment projects and discussed about the possibilities of further expansion of cooperation. Within the framework of the official visit of the Mongolian Prime Minister L. Oyun-Erdene to China last June, the Forum on Trade and Economic Cooperation between Mongolia and China was successfully organized in Beijing. More than 600 entrepreneurs from the two countries participated in the Forum and signed 25 contracts worth USD 2.2 billion.

China accounts for 84 percent of Mongolia's exports, 57 percent of which is hard coal, 26 percent is copper ore and concentrate, and four percent is iron ore and concentrate, which makes in total USD 10.6 billion. China supplies Mongolia with goods worth of USD 8.7 billion, 10 percent of which are trucks, seven percent - trailers and other parts, and four percent - electricity and energy, making in total USD 3 billion.

Over 60 companies, such as Energy technology and production company "Shuangliang", "Northern Rare Earth Group", "Bugat Iron and Steel Group" from Bugat, biopharmaceutical production company "Jinyu Baolin" from Hohhot, medical hospitals, pharmaceuticals, medical international exchange and cooperation center from Holonbuir, Adis Mongolian medicine from Tongliao city, Xinyuan and Luton trade technology from Ulaantsav, and Guan Zi technology from Bayannuur participated in the Forum and B2B meetings to introduce their activities, business relations and cooperation proposals to Mongolian counterparts.

IAEA staff have reviewed Mongolia’s cancer treatment and diagnostic facilities under the Rays of Hope initiative during a visit to the country in August 2023. The mission included on-site visits to healthcare facilities and facilitated interaction between the Korea Institute of Radiological and Medical Sciences (KIRAMS), and officials from Mongolia’s Ministry of Health, laying the foundations for future cooperation.

"This mission is not just another assessment of Mongolia’s cancer care infrastructure, it is a cornerstone in laying the framework for long term trilateral cooperation between the IAEA, Mongolia, and the Republic of Korea (RoK)," Gashaw Wolde, Section Head in the Division for Asia and the Pacific at the IAEA's Department of Technical Cooperation said.

Discussions between the Korea Institute of Radiological and Medical Sciences, who were also part of the visit, and the Mongolia’s Ministry of Health resulted in an agreement to develop a roadmap and action plan to strengthen Mongolia’s healthcare capabilities, specifically in terms of cancer management. Areas for collaboration include strengthening and expanding existing radiation medicine facilities, supporting the IAEA’s upcoming imPACT Review Mission to the country, and establishing a radiation emergency medical system in Mongolia. With cancer cases expected to nearly double in the next 20 years, the IAEA is committed to supporting Mongolia expand their capacities in terms of nuclear medicine, nuclear physics and radiation oncology through existing and planned technical cooperation projects, and through support for partnerships.

The IAEA mission staff met representatives from the Mongolian Ministry of Health, national healthcare institutions and the Korea Institute of Radiological & Medical Sciences (KIRAMS). (Photo: D. Subbotnitskiy/IAEA)

Comprehensive Analysis and Detailed Blueprint for Future Developments

The mission team identified several critical areas for attention and highlighted the important subject of radiation and safety.

“Medical physics plays a vital role in ensuring the quality of imaging, radiation oncology and radiopharmaceutical therapies while minimizing radiation risks to patients,” says Peter Knoll, Medical Physicist at the IAEA, and a participant in the mission. “It ensures the best possible outcome can be reached for medical procedures involving radiation.”

Other recommendations focused on optimizing the use of existing healthcare facilities from an efficiency and effectiveness point of view.

Future Developments

The mission's findings will contribute to Mongolia's comprehensive blueprint for the establishment of a second National Cancer Center (NCC2) - following further studies - and the construction of a new, technologically advanced building for cancer therapy at the First State Hospital. These plans are particularly significant as they align with Mongolia's broader healthcare strategy and Vision 2050 plan, and are expected to serve as a model for future cancer care projects in the region. Moreover, the mission serves as a scalable model for similar healthcare initiatives across the Asia and the Pacific region and the world.

Like many other countries, Mongolia faces unique healthcare challenges that demand customized, multifaceted solutions. Through the Rays of Hope initiative and this landmark mission, the IAEA is offering a targeted, systematic approach to tackling these challenges. The mission’s trilateral cooperation framework and the diverse funding possibilities discussed during the mission add layers of support and viability to these efforts and highlight the IAEA's unwavering commitment to promoting sustainable development through scientific and technological collaboration.

Russia is expanding its global trade by enhancing its infrastructure and transportation options in its eastern regions. In light of that, the business relationship between Russia and Mongolia has strengthened in recent years. Both countries are exploring new areas for collaboration and working together to create favorable conditions for joint ventures. Russia sees Mongolia as a key player in improving its connectivity with China, but this partnership is mutually beneficial. Russia has the potential to strengthen its economic ties with China and the Asia-Pacific region, while Mongolia’s economy is experiencing growth because of it.

Mongolia’s geographical location provides transit and transport corridors that are strategically important for Russia. The Trans-Mongolian Railway connects China to Russia’s Trans-Siberian railway system, providing a vital route for the movement of goods between Russia and East Asia. This rail link is essential for Russia’s trade with countries in the Asia-Pacific region.

Acting as a buffer state between China and Russia, Mongolia plays a significant role in ensuring that Russia’s southern border is separated from a powerful neighbor, reducing the risk of direct conflicts and providing a degree of security to Russia’s southern regions.

Mongolia’s foreign policy of maintaining a balanced relationship with Russia and China has yielded mutual benefits. Mongolia’s strategic location serves as a valuable bridge between these two major powers and has the potential to facilitate communication and cooperation between them. This balancing act not only benefits Mongolia but also helps preserve regional stability.

Historical Relations

Throughout history, Russia and Mongolia have maintained a strong and friendly relationship. A significant number of Mongolian leaders in politics and technology, as well as members of the artistic and cultural community, received their education in the USSR or one of its Eastern European allies. The Mongolian economy heavily relied on the Soviet bloc for investment, trade, and energy imports.

On November 5, 1921, the Mongolian People’s Republic (MPR) and the USSR signed a Treaty of Friendship to establish diplomatic relations. One year later, in 1922, embassies were opened in Ulaanbaatar and Moscow. From 1921 to 1990, the relations between the two countries went through different phases. There were periods of mutual assistance regarding moral, material, and financial aid, periods of robust economic growth, and successful projects such as the construction of The Trans-Mongolian Railways. However, there were also periods of great sorrow and destruction when political and religious ideologies clashed, like during the Stalinist repressions in the 1930s and 1940s.

In 1990, the Mongolian People’s Republic (MPR) collapsed, and the country formed its first democratically elected government. This change led to a rift in the previously close relationship between Mongolia and the Soviet bloc. As a result, Russian technical aid stopped after 1992. Furthermore, Russia requested that Mongolia repay all the aid it had received from the Soviet Union from 1946 to 1990, estimated to have amounted to almost US$180 million.

Following the dissolution of the Soviet Union and the end of the Cold War, Mongolia’s trade with Russia suffered a significant decline, while the influence of Western countries and China on Mongolia increased. Since the beginning of this millennial, Russia has been making efforts to strengthen its ties with Mongolia, with the aim of enhancing its status as a regional power.

In 2000, Russian President Vladimir Putin visited Mongolia and renewed a major bilateral treaty, which led to Russia lowering the prices of oil and energy exports to Mongolia and boosting cross-border trade. In 2016, Russia forgave 98% of Mongolia’s state debt.

In March 2022, Mongolia abstained from a UN vote to condemn the Russian invasion of Ukraine.

Balancing Tradition and Progress

Mongolia’s cultural identity and way of life have been shaped for generations by its vast steppes and abundant natural resources. However, the country is now facing a series of environmental challenges that are disrupting its ecosystem; the rapid growth of livestock and human activities such as mining and transportation are putting pressure on land and causing air pollution. Mongolia relies heavily on coal for energy and uses outdated Soviet-era-coal-fired power plants that in winter are heavily polluting. Overdependence on mining also makes the economy of Mongolia structurally vulnerable to external market shocks and commodity price cycles.

Meeting the increasing energy demand while reducing dependence on coal for health and environmental benefits remains one of the top priorities of the Mongolian government. The country’s expansive undulating steppes and deserts are perfect for harnessing wind and solar energy, offering enormous potential. With approximately 270 sunny days per year and almost one-tenth of the land endowed with wind resources, Mongolia has the potential to become a leading exporter of clean energy in the region.

CMR Corridor

Russia, Mongolia, and China have signed several tripartite agreements since 2016 to simplify the border clearance process and promote smooth transportation via road and railway along the corridor. The most notable agreement is the comprehensive deal for developing the China-Mongolia-Russia (CMR) economic corridor. The primary aim of the CMR corridor is to enhance transport connectivity and cross-border trade services by investing in infrastructure development.

Strategic Investments and Infrastructure Projects

In September 2019, a Comprehensive Strategic Partnership Agreement was signed between Russia and Mongolia to enhance and strengthen partnerships in politics, economy, trade, business, infrastructure, and humanity.

In addition, the two countries signed an agreement to create the Russian-Mongolian Investment Cooperation Fund. The main objective of this fund is to substantially enhance investment cooperation between the nations. The initial focus of the joint fund will be on investments in Mongolia’s transportation infrastructure, with plans to extend to the mining, energy, and agricultural sectors in the future.

Railway Projects

Russia, Mongolia, and China have agreed to conduct a feasibility study for the modernization of the central railway corridor. The plan involves implementing double railroads, electrifying the line, and repairing it. The project is progressing quickly, and by the end of 2023, the relevant agencies of Russia, Mongolia, and China are planning to complete the feasibility study. Practical implementation of the project is expected to begin in 2024.

Not only the above-mentioned project is taking on greater appeal —The Eastern Railway Corridor is emerging as an attractive option for linking the Trans-Siberian Railroad, Northeast China’s railways via the Trans-Baikal Territory, and the eastern aimaks of Mongolia. While the feasibility of this route was previously questioned, it is now taking real shape with Mongolia preparing to construct the missing Choibalsan — Huut — Bichigt section. The primary purpose of this new route is to transport container traffic and export Mongolian mineral resources. It also presents an opportunity for Russia to reduce freight traffic congestion in the East and export coal despite its Far Eastern ports’ challenges.

Road Projects

In October 2022, a 745-kilometer portion of the AN-4 highway was opened in western Mongolia. This highway connects the Russian regions of Western Siberia with the Chinese Xinjiang Uygur Autonomous Region, passing through the Tashanta checkpoint in the Altai Republic. Currently, Russia and Mongolia are in talks to construct additional trans-Mongolian and CMR highways, which would further strengthen the transportation network in the region.

Power of Siberia 2 Pipeline

Scheduled to begin construction in 2024, the Power of Siberia 2 natural gas pipeline is the most significant economic collaboration between Russia and Mongolia. The pipeline will span 2,600 km, connecting Russia and China via Mongolia, with a gas capacity of 50 billion cubic meters per year. It is expected to become operational by 2030, generating substantial revenue from transit fees and gas supplies for Mongolia. The construction and maintenance of the pipeline will create thousands of new job opportunities in the region and generate billions of dollars in revenue. Mongolia expects the PoS2 to contribute up to $1 billion annually in transit fees, create employment, facilitate economic diversification, and accelerate its transition away from coal. All of these developments are crucial for Mongolia’s sustainable growth.

Trade Dynamics

During the last 25 years, the exports of Russia to Mongolia have increased at an annualized rate of 8.8%, from US$218 million in 1996 to US$1.81 billion in 2021. In 2022, Russian-Mongolian trade increased by almost 50% compared to 2021 and reached US$2.7 billion, a historical high between the countries. Figures are expected to hit as high as US$3 billion by the end of this year. Almost 95% of trade turnover is accounted for by Russian exports.

Russia’s main exports to Mongolia include mineral products, primarily fuels and oils, energy commodities, as well as food products and agricultural raw materials, mostly grain, flour, and cereals. Additionally, machinery and equipment, vehicles, chemical industry products, and metals and metal products are also among the main exports.

On the other hand, Russia’s main imports from Mongolia include mineral products such as salt, sulphur, earth and stone, plastering materials, lime, and cement. Additionally, they import articles of clothing and clothing accessories, machine or hand-knitted, railroad locomotives or streetcar motor cars, rolling stock and parts thereof, nuclear reactors, boilers, equipment, and mechanical devices.

Currently, Mongolia’s exports to Russia account for less than 1% of its total exports. For all that, supplies from Russia account for around 32% of Mongolia’s imports and are substantial as far as some commodities are concerned: more than 90% of petroleum products, 27% of foodstuffs, and 30% of electric power.

Participation in International Organizations

Both countries are full members of the Organization for Security and Cooperation in Europe.

Russia is interested in Mongolia becoming a full-fledged member of the Shanghai Cooperation Organization (SCO). Mongolia has been an observer state of the SCO for over 20 years.

Mongolia became the first State to sign the Memorandum of Cooperation with the Eurasian Economic Commission in 2015. Since then, a working group has been operating to discuss matters related to broadening economic ties between the EAEU member states and Mongolia.

Mongolia has expressed its desire to join ASEAN and has attended its meetings in the past. Russia forms part of ASEAN as a dialogue partner.

Lastly, both countries are part of the Asia-Europe Meeting (ASEM), an intergovernmental process established in 1996 to foster dialogue and cooperation between Asia and Europe.

The Future of Russia-Mongolia Relations

The growing relationship between Russia and Mongolia is a positive development for both countries. Russia’s efforts to improve infrastructure and transportation in its eastern regions have resulted in better connectivity with China, which in turn benefits Mongolia’s economy. Mongolia’s development and stability are heavily dependent on Russia’s support and assistance. As both countries continue to expand their cooperation, with a multitude of exciting and innovative projects on the horizon, their partnership holds the promise of mutually beneficial outcomes and increased prosperity for both countries.

By Michael Barantschik

Dezan Shira & Associates maintain an office in Ulaan Baatar. For assistance in the Mongolian market, please email mongolia@dezshira.com

About Us

During these uncertain times, we must stress that our firm does not approve of the Ukraine conflict. We do not entertain business with sanctioned Russian companies or individuals. However, we are well aware of the new emerging supply chains, can advise on strategic analysis and new logistics corridors, and may assist in non-sanctioned areas. We can help, for example, Russian companies develop operations throughout Asia, including banking advisory services, and trade compliance issues, and have done since 1992.

We also provide financial and sanctions compliance services to foreign companies wishing to access Russia. Additionally, we offer market research and advisory services to foreign exporters interested in accessing Russia as the economy looks to replace Western-sourced products. For assistance, please email russia@dezshira.com or visit www.dezshira.com

When the pope is on official business, it is customary for him to send a greeting from the papal aeroplane to the heads of state of the countries he flies over.

As Pope Francis’s plane cruised above China on September 1, en route to Mongolia for the first papal visit in history, the head of the Catholic Church dispatched a telegram to Chinese President Xi Jinping in which he extended well wishes to Xi and the Chinese people.

Below, in the eastern Chinese city of Fuzhou, 58-year-old restaurant owner Theresa Liu was praying for the pope’s safe arrival in Mongolia.

“He is not a young man so I was praying for him to have a smooth journey and arrive in good health,” she told Al Jazeera.

Liu describes herself as a devout Chinese Catholic.

She would have liked to travel to Mongolia as some Chinese Catholics did but the workload at her Sichuan-inspired restaurant in Fuzhou did not allow her to go.

“Besides, I am afraid that a visit [for the purpose of seeing the pope] would get me in trouble with the [Chinese] government,” Liu said.

Two people were allegedly detained by the Chinese authorities for organising a group pilgrimage from China to Mongolia in connection with the pope’s visit.

Another group of Chinese Catholics made up excuses to enter Mongolia for the pope’s visit but were concerned about potential consequences.

According to Liu, pressure is mounting on China’s Catholics who number as many as 10 million people in a country that is officially atheist.

“The government is trying to control everything about our religion – how our churches look, who our priests are, the way we pray,” Liu said.

And she is convinced that it is not just Catholic communities that are feeling the weight of the Chinese party-state.

“I think different religious groups all over China are having trouble with the government.”

‘Just a piece of paper’

Officially, Article 36 in the Constitution of the People’s Republic of China guarantees freedom of religion for all Chinese citizens.

“But the constitution is just a piece of paper,” Xi Lian, a professor at Duke Divinity School in the United States whose research centres around China’s modern encounters with Christianity, told Al Jazeera.

“In real life in China, we are not seeing the government respecting freedom of religion.”

In recent years, few have felt this more strongly than the Muslim Uighurs in the western Chinese region of Xinjiang.

Muslims in Xinjiang have been detained for attending religious events, praying, wearing a headscarf or having a beard. More than 1 million Uighurs have served time in a detention camp. At the same time, upwards of 16,000 mosques have been damaged or destroyed in Xinjiang since 2017.

South of Xinjiang in Tibet, the authorities have restricted the practice of Tibetan Buddhism over the last decade. Religious festivals have been banned more frequently and government employees, teachers and students have been barred from participating in religious activities.

Tibetan schools have also been closed and the Chinese government has been accused of trying to forcibly assimilate more than 1 million Tibetan children through state-run boarding schools in an attempt to “eliminate Tibet’s distinct linguistic, cultural and religious traditions”.

The encroachment on religious customs and spaces extends beyond the ethnic minorities in western China.

The Hui are a group of about 11 million Chinese-speaking adherents of Islam scattered over much of China. Hui mosques and cemeteries across China have been demolished or subjected to “renovations” in recent years.

In May, thousands of Hui residents in the village of Najiaying in Yunnan Province reportedly feared that a demolition was under way when they found their mosque closed for noon prayers, guarded by police and surrounded by cranes. The locals and the police clashed and in the days that followed, many were arrested.

“Hui communities have also been prohibited from using the Arabic script on religious sites, religious leaders have been forbidden from addressing certain topics in religious sermons and definitions of halal food derived from religious authorities have been replaced by state definitions,” David Stroup, an expert on the Hui at the University of Manchester, told Al Jazeera.

Christian communities have had similar experiences.

In 2016, thousands of crosses were torn down from churches throughout Zhejiang Province. The authorities have also broken up congregations that have not been approved by the state, while church leaders have been arrested and jailed.

‘A jealous god’

President Xi Jinping visited Xinjiang in August where he lauded the “achievements made in various tasks in Xinjiang” and urged officials to “more deeply promote the ‘sinicisation’ of Islam”.

Over the years, Xi has regularly called for the “sinicisation” of religion in China.

“However, it is important to note that the ‘sinicisation”‘ of religion has occurred in China for centuries,” said Duke’s Xi.

As different religions have been adopted in China, as in many other countries, they have organically evolved to fit with local traditions, customs and the changing of the times.

But Xi’s sinicisation means something different.

The first time the Chinese leader publicly spoke of it was at a conference in Beijing in 2015, during which he also declared “that the Communist Party could give active guidance to religions so that they could adapt themselves to socialist society, adhere to the direction of sinicised religion, and increase the standard of the regulations controlling religion”.

It was in the years afterwards that crosses were demolished in Zhejiang and the first detention camps were established in Xinjiang.

“The current wave of sinicisation is driven by the party-state as it seeks to change religion in China, so it aligns with the Communist Party’s and Xi Jinping’s interpretation of dominant Chinese culture and socialist core values,” Stroup said.

It manifests in the demolition of domes, crosses and minarets and their replacement by Chinese-styled tiled roofs and Buddhist-styled pagodas. It involves mandatory patriotic education for Buddhist, Christian and Muslim clergy and it entails party-approved sermons and prayers.

For those religious communities that recognise a religious authority beyond China’s borders, sinicisation is also about weakening ties to such an authority to protect the Chinese Communist Party (CCP).

“The communist god is a jealous god that does not want anyone to compete with its power,” said Duke’s Xi.

As an example, the Tibetan Buddhist leader-in-exile, the Dalai Lama, continues to be portrayed as a separatist by the CCP and the Chinese authorities have tried to discredit and isolate him internationally.

The pope has also had his religious authority undermined in China.

After decades of Catholic division in China. between an underground flock loyal to the Pope and a state-backed official church, the Vatican the CCP agreed to a landmark bilateral pact in 2018 by which both sides would recognise the pope as the supreme leader of the Catholic Church.

However, the Vatican accused the Chinese authorities of violating the pact in April by unilaterally appointing a new bishop for Shanghai even after it had been agreed that the final decision in appointing bishops lay with the pope.

China defends internment camps for Uighur Muslims

Analysts say it is politically naive if the Vatican believes it can make a deal with Beijing that would grant the Catholic Church increased religious autonomy.

“And it shows an inability to read the political landscape in China,” Xi said.

Keeping faith behind closed doors

When Liu, who preferred not to share her real name for fear of reprisals, reads the political landscape in China, she sees the country headed towards increased religious intolerance.

This saddens her but she was comforted by the fact that on his last day in Mongolia, the pope sent a message to Chinese Catholics.

“It is good that he remembers us,” she said.

Liu is part of the sizeable Catholic community that recognises the authority of the pope and refuses to let the Chinese authorities intervene in their religious affairs.

She does not support the 2018 pact and is against the Vatican’s attempts at working with the CCP.

“The Chinese government does not respect any other authority than their own, so I don’t think they will follow any such agreements.”

While Liu believes there was a time in the mid-2000s when it seemed they could be “be more open about our faith”, that is no longer the case.

“Just before the pandemic my congregation and I went underground again,” she said.

Stroup believes that most Hui communities will respond to Xi’s sinicisation programme by similarly keeping their heads down and trying to weather the storm the best they can.

“Although we do see people who are willing to protest bulldozers knocking down minarets, for example, I don’t expect that we will see months of resistance,” he said.

Liu thinks defiance and sporadic acts of protest will only make things worse.

Instead, she believes it is better to be discreet and keep religious affairs behind closed doors.

“If you are patient in the dark, you will eventually get to see the light.”

SOURCE: AL JAZEERA

The Chairman of the State Duma Vyacheslav Volodin met with the Prime Minister of Mongolia Luvsannamsrain Oyun-Erdene in Ulaanbaatar. They discussed issues of development of relations between Russia and Mongolia.

During the official visit to Mongolia, the Chairman of the State Duma Vyacheslav Volodin met with the Chairman of the State Great Khural of Mongolia Gombojavyn Zandanshatar. The first meeting of the Commission on Cooperation between the Federal Assembly of the Russian Federation and the State Great Khural of Mongolia will be held in Ulaanbaatar on September 25. The agenda includes issues of providing legislative assistance to economic, financial, interbank cooperation between Russia and Mongolia, as well as transport, energy, agricultural and tourism cooperation.

Korean major retailer Homeplus' private brand products are gaining attention from Mongolian consumers after the firm's distribution network expanded to the country earlier this month, according to the firm.

On Sept. 4, the company's products arrived on the shelves of 14 Orgil and Tout'en locations in Ulaanbaatar, which are two discounted retail brands run by Mongolia's Circle Group. Homeplus said its product sales were hot during the first week of sale.

Homeplus Signature products were displayed at the front of the stores, according to the company. There were 200 different kinds of products ranging from processed foods to condiments, dried noodles, snacks, confectioneries, beverages and daily hygiene products like paper towels and wet tissues.

Homeplus said its expansion to Mongolia is based on the country's heavy reliance on imports. While the imported products on local shelves have been selling at affordable prices, Homeplus aims to distribute its private brand products at cheaper prices.

The company also took into account the fact that over 37,000 Mongolians are estimated to live in Korea and have grown accustomed to Korean consumer products.

Homeplus' Mongolian expansion came after executives from Circle Group visited Seoul two times to sign the expansion deal. Established in 1996 as a trading and construction company, Circle Group has been listed in the top 100 firms by the Mongolian National Chamber of Commerce and Industry six years in a row.

Homeplus said its long-term goal is to settle in the Mongolian market and expand Korean foods to consumer markets around the world.

By Ko Dong-hwan

But the pursuit of influence in the strategically important country could one day drive them apart.

The periphery commands growing attention. Amid ongoing Western pressure on Russia and the complexities confronting the Chinese economy, both nations seek to cultivate alternative transit routes and foster trade ties. Mongolia, strategically wedged between them, is garnering mounting interest as a transit hub. The three nations have signaled a shared commitment to bolster trilateral cooperation, with the construction of the China-Russia-Mongolia economic corridor ranking high on their agenda.

In September, diplomatic interactions and gatherings surged. A noteworthy assembly convened, featuring luminaries such as Chinese Foreign Minister Wang Yi, Russian Security Council Secretary Nikolai Patrushev and Mongolia’s National Security Council secretary. Ambitious blueprints emerged for the creation of five road and three railway corridors in Mongolia. This trajectory sets the stage for enhanced cooperation, yet it also harbors potential pitfalls, including competition for influence in Mongolia not only among global and regional powers but also between China and Russia.

BY: Geopolitical Futures (GPF) was founded in 2015 by George Friedman, international strategist and author of The Storm Before the Calm and The Next 100 Years. GPF is non-ideological, analyzes the world and forecasts the future using geopolitics: political, economic, military and geographic dimensions at the foundation of a nation.