AGP Executive Report

Mongolian Markets: The Mongolian Stock Exchange saw 4.7 million securities traded worth MNT 10.8 billion (July 19–26). TOP-20 and MSE A rose (+2.02%, +1.43%), while MSE B and FTI slipped (-0.73%, -0.51%); activity clustered in large caps like BDSec, Invescore NBFI, Ard Financial Group, Khan Bank and Golomt Bank. Mining & Copper in Mongolia: Rio Tinto says it’s doubling down on cost cuts and productivity, with Simon Trott targeting $1.8bn savings by year-end; the company also points to ramping Oyu Tolgoi copper work in Mongolia as its main near-term growth lever. Rare Earth Supply Chains: POSCO International signed an MoU with Brazil’s Meteoric Resources to secure rare earth intermediates from the Caldeira project and refine them into oxides for permanent magnet makers. Energy Transition Finance: ADB is expected to back Pakistan’s border connectivity and logistics upgrade, with a CAREC ministerial conference planned in Mongolia on Sept 29–30. Global Heritage Watch: UNESCO added 25 new World Heritage sites, including D-Day Landing Beaches and Mount Olympus—plus Mongolia’s “Tombs of the Xiongnu Ruling Elite” among the year’s additions.

Mongolia–Japan Business & Tech Push: Mongolia’s Prime Minister met Japan’s ambassador, stressing deeper cooperation with Japan’s “third neighbor” policy, with plans to expand e-governance, IT, renewable energy and startups, plus work to advance Chinggis Khaan International Airport under Japanese ODA and engineer training. Mongolia–China Infrastructure Momentum: Mongolia’s outgoing Chinese ambassador highlighted major bilateral projects moving ahead, including the Gantsmod–Gashuunsuhait cross-border railway and the Erdeneburen hydropower plant, framing cooperation as a long-term industrial and connectivity drive. COP17 Desertification Focus: Ahead of Mongolia hosting UNCCD COP17, officials say the event is a chance to lead on desertification, land degradation and drought, including rangelands and pasture priorities tied to global environmental governance. Energy Storage for 24/7 Power: Envision Energy’s system-level approach to energy storage is gaining attention as AI data centers drive demand for reliable, low-carbon power, with grid-forming and integrated power-system capabilities. Mining & Investment Governance: A Yukon mine sale tied to a tailings disaster was extended for 90 days as negotiations continue, underscoring how due diligence and deal structures shape resource-sector risk outcomes. UNESCO World Heritage Update (Mongolia Included): UNESCO added 25 new World Heritage sites, including Mongolia’s “Tombs of the Xiongnu Ruling Elite,” boosting heritage-linked tourism and preservation attention. EU Sanctions Tighten on Russia: The EU rolled out its 21st Russia sanctions package targeting crypto/gold/diamond evasion and financial enablers, a reminder for cross-border trade and compliance pressures.

Mongolia’s Desertification Push: Mongolia is gearing up for COP17 under UNCCD with logistics plans for 2,800+ delegates, including 160+ buses and standby vehicles to keep transport running smoothly. Mongolia-Japan Industrial Cooperation: Mongolia and Japan plan to expand work in e-governance, renewable energy, and startups, while Japan also moves forward on preparations for Chinggis Khaan International Airport expansion and engineer training support. Mining Automation Export: CiDi says it will grow overseas deployments of autonomous mining equipment this year, with a fleet already past 1,700 vehicles and plans for robotic blasting and drilling. Rare Earth Supply Watch: A leading geologist argues China’s Bayan Obo rare earth reserves could be far larger than reported, pointing to multiple mineralization stages. Food & Dairy Value Shift: China’s dairy sector is pivoting toward functional proteins as whey ingredient prices stay high and demand rises. Warehouse Tech for Retail: XYZ Robotics launched an end-to-end goods receiving automation system for BAUHAUS, aiming to speed container unloading and palletizing. Public Health & Animal Health: FAO unveiled a blueprint to tackle transboundary animal diseases through country-led partnership platforms. AI Governance Moves: China-backed WAICO was launched with 29 countries, signaling a push toward international AI governance and capacity building.

UNCCD COP17 Logistics: Mongolia is preparing for COP17 with major transport plans: 2,800+ delegates expected, 160+ buses deployed, and 150–200 vehicles on standby, with frequent shuttle service between Chinggis Khaan International Airport, hotels, and the conference venue. Desertification Agenda: Ahead of the summit, Mongolia’s environment officials frame COP17 as a chance to lead global action on land degradation, drought, and rangelands, with 2026 highlighted as a key policy and SDG review year. Mongolia–Japan Cooperation: Prime Minister Uchral Nyam-Osor met Japan’s ambassador to push expansion in e-governance, IT, renewable energy, and startups, while Japan discussed preparations for upgrading Chinggis Khaan International Airport under ODA and engineering training support. Mongolia–China Infrastructure Legacy: Outgoing Chinese Ambassador Shen Minjuan points to progress on the Gashuunsukhait–Gantsmod cross-border railway and the Erdeneburen hydropower plant, alongside record bilateral trade momentum. Mining Automation Push: CiDi says it will grow overseas deployments of autonomous mining equipment, citing a fleet of 1,700+ vehicles and plans for broader rollout beyond China. Energy Project Leadership: TMK Energy appoints US COO Steve Skinner to drive commercialization of methane from coal seams for the Gurvantes XXXV project in Mongolia. Animal Health for Food Security: FAO unveiled a blueprint to tackle transboundary animal diseases via national partnership platforms linking governments, private sector, producers, and finance. Industrial Automation in Warehousing: BAUHAUS and XYZ Robotics launched an end-to-end goods receiving automation system to unload, sort, and palletize mixed cartons. Science Recognition: A Mongolian graduate student won a best paper award at APARM 2026 in Singapore for a software reliability model aimed at improving IT product quality forecasting.

UNCCD COP17 Logistics: Mongolia is gearing up for COP17 with plans for 160+ buses, 150–200 vehicles on standby, and frequent shuttle service between Chinggis Khaan International Airport, hotels, and the venue as 2,800+ delegates are expected. Energy & Industry Leadership: TMK Energy appointed US petroleum engineer Steve Skinner as COO to push commercialization of methane from coal seams in Mongolia’s Gurvantes XXXV project, citing 1.2 trillion cubic feet of contingent gas reserves. Mining Automation Push: Hong Kong-listed CiDi expects overseas deployments to rise this year, expanding autonomous mining equipment beyond China with a focus on Australia plus new work in the Middle East, South America, and Europe. AI for Weather Readiness: China is rolling out its AI-powered MAZU meteorological early warning system to 30 countries over five years, aiming to improve impact-based forecasting for sectors like transport and agriculture. Biopharma Expansion in Mongolia-linked supply chains: Jiangxi Bio’s veterinary tetanus antitoxin production line in Inner Mongolia has started, strengthening its animal health antiserum portfolio. Diplomacy & Infrastructure Legacy: China’s outgoing ambassador to Mongolia, Shen Minjuan, highlighted progress on the Gashuunsukhait–Gantsmod border railway and the Erdeneburen 90MW hydropower project during her tenure.

Mongolia Infrastructure: Ulaanbaatar is pushing the “Tuul-1” wastewater collector project after main pipelines hit full capacity at peak hours, with the city ordering urgent relocation and protection of overlapping engineering utilities. Mining Automation: Hong Kong-listed CiDi says overseas deployments of autonomous mining machines will rise this year, expanding beyond China with bigger rollouts in Australia and new contracts across the Middle East, South America and Europe. Food & Livestock Security: FAO unveiled a new global blueprint to tackle transboundary animal diseases through country-led partnership platforms, aiming to protect livelihoods and trade. Trade & Finance Tech: ICBC completed China’s first digital yuan cross-border payment with Singapore, settling nearly 10 million yuan in import shipping fees via the Digital Currency Express platform. EU Sanctions Watch: The EU adopted its 21st Russia sanctions package, adding new crypto-asset service restrictions aimed at jurisdictions linked to evasion, plus tighter energy and finance controls. Steel Signals: World crude steel output rose 1.7% in June 2026 to 155.7Mt, with Mongolia included among reporting countries. UNCCD COP17 Focus: UNCCD’s executive secretary framed Mongolia’s upcoming COP17 as a chance to treat land restoration as an investment in food security and resilience.

Urban Infrastructure: Ulaanbaatar is pushing the “Tuul-1” wastewater collector project after main pipelines hit 100% capacity at daily peak hours, with city officials ordered to relocate and protect overlapping engineering utility networks to keep housing and ger-area development on track. Agriculture & Food Security: Mongolia’s new Permanent Representative to FAO, Ambassador Bulgan Dansran, assumed duties and highlighted FAO support for livestock capacity and food security, including preparations for the Global Pastoralists’ Gathering in August. Land Restoration for Resilience: Ahead of UNCCD COP17 in Ulaanbaatar (Aug 17–28), UNCCD leadership framed land restoration as an investment in food security, rural livelihoods, and economic resilience—shifting focus beyond carbon and renewables. Mining Automation: Hong Kong-listed CiDi expects overseas deployments of autonomous mining machines to rise this year, expanding beyond China with plans for Australia plus new contracts across the Middle East, South America, and Europe. Industrial Output: World crude steel production rose 1.7% in June 2026 to 155.7Mt, with Mongolia included among reporting Asia/Oceania producers. Sanctions & Crypto Compliance: The EU adopted its 21st Russia sanctions package, adding tighter controls and a new deterrent tool that can block entire third-country crypto-asset services tied to sanctions evasion.

UNCCD COP17 & Land Restoration: Ahead of UNCCD COP17 in Ulaanbaatar (Aug 17–28, 2026), UNCCD leaders are pushing land restoration as an investment in food security, jobs, and resilience—not just climate talk. Urban Infrastructure: Ulaanbaatar is accelerating the “Tuul-1” wastewater collector after main pipelines hit full design capacity at peak hours, with relocation and protection of overlapping engineering networks flagged as urgent. Mongolia-FAO Diplomacy: Mongolia’s new Permanent Representative to FAO, Ambassador Bulgan Dansran, formally assumed duties, highlighting FAO support for livestock and food security and inviting FAO to the Global Pastoralists’ Gathering (Aug 10–15). Mining Automation Exports: CiDi says overseas deployments of autonomous mining machines should rise this year as it expands beyond China, with Australia and new contracts across the Middle East, South America, and Europe. EU Sanctions Ripple: The EU adopted its 21st Russia package, tightening finance, energy, LNG, and crypto controls—explicitly naming countries including Mongolia among jurisdictions tied to sanctions evasion. Steel Snapshot: World crude steel output rose 1.7% in June 2026 to 155.7Mt, with Mongolia included among Asia’s reporting countries. Game Industry: Mongolian developer Beer Night Studio’s “Carnival Hunt” launched on Steam Early Access, with early access buyers getting a limited cosmetic reward.

Mongolia Infrastructure: Ulaanbaatar is pushing to intensify the “Tuul-1” wastewater collector project after main pipelines hit full capacity at peak hours, with officials ordered to relocate and protect overlapping engineering utility networks to keep urban development on track. Mongolia Food & Agriculture Diplomacy: Mongolia’s new Permanent Representative to FAO, Ambassador Bulgan Dansran, assumed duties and highlighted FAO support for livestock, food security and agricultural capacity, including plans for the Global Pastoralists’ Gathering in August. Mongolia Development Spotlight: UNDP’s outgoing Resident Representative Matilda Dimovska reflected on Mongolia’s resilience and institution-building over UNDP’s 50-year partnership, tying progress to climate and development adaptation. Mining & Tech: CiDi, a Hong Kong-listed autonomous mining equipment maker, expects overseas deployments to rise this year as it expands beyond China—especially in Australia—while developing robotic drilling and explosive-handling systems. EU Sanctions: The EU adopted its 21st Russia sanctions package, adding 218 entities and tightening controls across finance, energy, crypto and military-industrial sectors, including a new “full third-country ban” tool for crypto-asset services. Global Animal Health: FAO unveiled a new country-led blueprint to tackle transboundary animal diseases through national partnership platforms, aiming to protect livelihoods and trade. Steel Watch: Worldsteel reported June 2026 crude steel output up 1.7% year-on-year to 155.7Mt, with Mongolia included among reporting countries.

Autonomous Mining Exports: Hong Kong-listed CiDi says overseas deployments of autonomous mining machines will rise this year, led by a bigger Australia rollout and new contracts in the Middle East, South America and Europe, with robotic drilling and explosive-handling next. Mongolia Industrial Pulse: Mongolia’s industrial production jumped 55.9% in H1 2026, driven by a 68.2% surge in mining and quarrying and a 15.4% rise in manufacturing, while diesel prices fell and some essential goods in Ulaanbaatar edged up. Urban Infrastructure: Ulaanbaatar is pushing to intensify the “Tuul-1” wastewater collector after main pipelines hit full capacity during peak hours, with engineering utility networks needing relocation and protection. Energy & Mining Investment: TMK Energy appointed US petroleum engineer Steve Skinner as COO to commercialize its Gurvantes XXXV coal seam gas project in Mongolia. Trade & Payments Tech: ICBC completed China’s first digital yuan cross-border payment with Singapore for import shipping fees, signaling faster settlement for trade flows. Food & Livestock Security: FAO unveiled a new global blueprint to tackle transboundary animal diseases through country-led partnership platforms. Regional Policy & Research: Mongolia broke ground on its first independent Presidential Institute of International Studies under the National Defense University, aimed at national security and defense policy research.

Autonomous Mining Exports: CiDi, a Hong Kong-listed Chinese autonomous mining equipment maker, says it will push overseas deployments this year, including a bigger Australia rollout and contract hunts across the Middle East, South America and Europe, aiming for overseas revenue to rise to double-digit shares next year. Urban Infrastructure: Ulaanbaatar is intensifying the “Tuul-1” wastewater collector project after main pipelines hit full capacity at peak hours, with relocation and protection of overlapping engineering utilities flagged as urgent. Food & Livestock Security: Mongolia’s new Permanent Representative to FAO has assumed duties, highlighting FAO support for the livestock sector and food security, while FAO unveiled a new global blueprint to tackle transboundary animal diseases through country-led partnerships. EU Sanctions Ripple: The EU’s 21st Russia sanctions package adds 218 entities and expands pressure tools, including a full third-country crypto-asset ban mechanism that can hit firms in jurisdictions listed as sanction-evasion routes, with Mongolia among countries mentioned. Mongolia Industry Pulse: Mongolia reports industrial production up 55.9% in H1 2026, driven by a surge in mining and quarrying and stronger manufacturing output. Transport & Construction: Ulaanbaatar cable car construction reaches 85% completion, with testing planned for September 19, 2026. Security Research Push: Mongolia broke ground on the Presidential Institute of International Studies under the National Defense University, aiming to build an independent national research and policy center for security and international relations.

Mongolia Industry Pulse: Mongolia’s industrial production jumped 55.9% in H1 2026 to MNT 35.3 trillion, led by mining and quarrying (+68.2%) and manufacturing (+15.4%), with metal ore and coal output driving most of the gains. Energy & Costs: Diesel prices fell in provincial centers to MNT 4,508/liter, while some essential consumer goods in Ulaanbaatar rose 0.9% month-on-month. Urban Infrastructure: The Ulaanbaatar Cable Car project hit 85% completion; testing is set for Sept 19, 2026 and the state commission review runs Oct 20–Nov 20. Security & Research: Construction began on Mongolia’s first independent Presidential Institute of International Studies under the National Defense University, aimed at national security, defense policy, and international relations research. Trade & Industry Links: Mongolia and the EAEU agreed interim tariff benefits for 367 product categories, including cuts or elimination for Mongolian leather, wool, and cashmere exports. Diplomacy for Business: Tajikistan’s state visit concluded with 11 cooperation documents spanning trade, mining, industry, and environment, plus a Mongolia–Tajikistan business forum.

Defense & Research: Mongolia broke ground on the Presidential Institute of International Studies at the National Defense University, aiming to build the country’s first independent national research center for national security, defense policy, and international relations. Urban Infrastructure: Ulaanbaatar’s Cable Car project hit 85% completion, with 19 support pillars installed and two stations under construction; system testing is set for Sept. 19, 2026. Trade & Industry: Mongolia’s industrial production rose 55.9% in H1 2026, driven by a 68.2% jump in mining and quarrying and a 15.4% gain in manufacturing. Energy & Prices: Diesel prices fell in provincial centers, while some essential consumer goods in Ulaanbaatar rose slightly—an early read on cost pressures. Mining & Finance: Erdene reported improved Q2 2026 performance at the Bayan Khundii gold mine, with higher gold output and stronger plant operations. Bilateral Business: Mongolia and Tajikistan signed 11 cooperation documents across trade, economy, education, geology, mining, environment, and industry, alongside a business forum and B2B deals.

Mongolia–Central Asia Trade: Mongolia and Tajikistan held their first Intergovernmental Commission meeting in Ulaanbaatar and signed 11 cooperation documents, spanning trade, agriculture, light industry, transport, logistics, energy, education, culture and tourism. Winter Readiness: Prime Minister Uchral Nyam-Osor ordered aimag and capital governors to accelerate 2026–2027 winter and spring preparations, including hay/fodder and meat reserves, veterinary prevention, and readiness of specialized equipment. Mining & Exports: Erdene reported improved Q2 2026 performance at the Bayan Khundii gold mine, while Mongolia’s foreign trade turnover rose 36.3% y/y in H1 2026 to $16.5bn, driven by mining exports (nearly 90% of total). Energy & Gas Development: Jade Gas signed a non-binding deal for about A$1.1bn to fund Red Lake coal bed methane phase one drilling in Mongolia, with PTBEL named lead contractor. Aviation Connectivity: Air China will start the first scheduled international C919 route next month, linking Beijing and Ulaanbaatar—an early test for wider overseas expansion. Industry Tech & Skills: A clean-tech skills gap is slowing solar and broader electrification deployment, with employers struggling to fill roles as demand rises.

EAEU Trade Boost: Mongolia’s interim trade deal with the Eurasian Economic Union kicks in July 22, cutting or removing tariffs on 367 product categories under agreed conditions, with agriculture and livestock making up 97.5% of covered exports and a goal to double exports in three years. Central Asia Deal-Making: Mongolia and Tajikistan signed 11 cooperation documents during President Rahmon’s state visit, covering transport, agriculture, trade, education, mining, environment, youth and sports, plus visa-free travel for holders of diplomatic and official passports for up to 30 days. Mining Watch: Mongolian Mining Corporation published its operational update for the quarter ended June 30, 2026, outlining performance across coking coal, gold/silver, copper and other non-ferrous metals. Safety Pressure in Industry: China’s Supreme People’s Procuratorate said 16,648 people were prosecuted for workplace safety offenses from 2023 to mid-2026, with mining and construction still high-risk. Energy & Fuel Costs: Mongolia’s AI-92 gasoline pump prices rose after renegotiated Russian import rates, tied to global oil price volatility. Digital Resilience: A new study warns weak internet infrastructure can disrupt banking, healthcare and government services during major outages.

Mongolia–Tajikistan Deal Push: Tajik President Emomali Rahmon’s state visit to Ulaanbaatar delivered 11 new cooperation documents spanning transport, agriculture, trade, education, mining, environment, youth and sports, geology, and investment—plus a visa-free 30-day travel deal for diplomatic and official passport holders. EAEU Trade Boost: The Eurasian Economic Union’s interim trade agreement with Mongolia takes effect July 22, cutting or removing tariffs on 367 product categories (about 90% of bilateral trade) for three years, with preferential access for dairy, vehicles, cosmetics and more. Winter Readiness: Mongolia’s Prime Minister ordered aimag and capital governors to accelerate 2026-2027 winter and spring preparation, including hay/fodder and meat reserves, veterinary prevention, and stockpiling medicines and supplies. Fuel Costs: Mongolia’s AI-92 pump prices rose MNT 250–300 per liter after Russia renegotiated import rates to about USD 800/ton. Aviation Link: Air China will start daily C919 service between Beijing and Ulaanbaatar from Aug 12, testing the aircraft’s shift from domestic routes to regular international operations. Ag Tech Spotlight: “Ag in Motion” in Saskatchewan drew 600+ exhibitors and international buying delegations, highlighting drone spray tech and new crop science. Education Partnerships: American National University signed new and renewed agreements with three Mongolian universities and Ömnögovi Province to expand student opportunities.