Georgia’s Transit Corridor on the Brink of Structural Transformation

In the first half of 2025, Georgia’s transit corridor stands at the threshold of a significant shift. The total volume of cargo passing through the country amounted to 229,000 trailers — a 4% decrease compared to the same period last year. While this decline may appear modest, it clearly reflects a reconfiguration in the region’s geo-economic logistics landscape.

Despite a decrease in transit flows toward Turkey and Azerbaijan, there has been a notable rise in trailer movement toward Armenia, which saw a 2% year-on-year increase, reaching 57,500 trailers. According to data from the Revenue Service, state budget revenue from transit permit fees declined to 80 million GEL. With a standard fee of 350 GEL per trailer, this drop underscores the corridor’s sensitivity to external factors.

Among the top five destination countries, the data shows varied trends: transit to Azerbaijan fell by 2%, while Turkey experienced a sharper 16% decline. Cargo flow to Russia dropped by 17%. In contrast, trailer movement toward Ukraine surged by an astonishing 145%, possibly indicating the country’s growing reliance on Georgia as a strategic southern corridor. Flows to Kazakhstan and Turkmenistan remain small but show signs of growth.

Sharp declines were observed in the number of trailers heading toward Switzerland and the United Arab Emirates — down by 43% and 67%, respectively. These shifts illustrate the dynamic and evolving nature of global transit interests. Meanwhile, traffic toward Central Asian countries like Uzbekistan and Turkmenistan remains steady, with increasing emphasis on Armenia and Ukraine.

The region’s logistical architecture remains in flux — shaped by geopolitical tensions, international sanctions, armed conflicts, and changing trade priorities. For Georgia, the challenge is clear: to adapt swiftly and strategically by investing in transit infrastructure modernization, enhancing electronic control systems, and diversifying its logistics services for new markets.

The data from early 2025 demonstrates that Georgia continues to serve as a key regional transit hub. However, emerging challenges and rapidly shifting freight flows require agile and well-informed decisions — not only to maintain this status but to elevate Georgia from a mere “transit passage” to a value-added logistics platform, where economic returns and state revenues grow in a sustainable manner.