Afghanistan is making steady progress toward self-sufficiency in car battery production, officials from the Chamber of Industries and Mines said.

They noted that with consistent support from the Ministry of Industry and Commerce, particularly in facilitating investment, the country could become both a producer and exporter of car batteries by the end of the current year.

According to the Union of Car Battery Manufacturing Factories, a significant portion of domestic demand is already being met through local production, with full self-sufficiency expected in the near future.

Industry representatives also said Afghan manufacturers have begun exporting car batteries to countries in the Gulf region and parts of Europe, though further expansion depends on improved transport routes and export arrangements.

“Last year, for the first time in Afghanistan’s history, we exported car batteries abroad,” said Abdul Mateen Qalandari, Head of the Secretariat of the Chamber of Industries and Mines. “This year, we expect to export hundreds of containers.”

Manufacturers have called on the Ministry of Industry and Commerce to continue restrictions on lead exports and to prioritize the use of domestically produced car batteries in government procurement contracts.

Officials added that the number of car battery manufacturing factories is expected to reach 20 by the end of the year.

Afghanistan currently produces around 38,000 tons of car batteries annually, and industry leaders say local manufacturers have the capacity to further increase output.

“Factories are producing a wide range of car batteries in different sizes, meeting the needs of the domestic market,” said Abdul Salam Jawad Akhundzada, spokesperson for the Ministry of Industry and Commerce.

Officials from the Ministry of Economy emphasized that the development of domestic industries remains a top priority, adding that efforts are underway to create a more favorable environment for both domestic and foreign investors.

“In the past, car batteries were imported from countries such as Pakistan, Iran, Thailand, and China,” said Abdul Latif Nazari, Deputy Minister for Technical Affairs. “However, imports have now declined, and Afghanistan is on track to achieve self-sufficiency in this sector by the end of the year.”

Uzbekistan has rolled out a new exchange-based trade system with Afghanistan, a move aimed at enhancing economic ties between the two nations. Initiated by the Uzbekistan Chamber of Commerce and Industry, the new mechanism utilizes the existing infrastructure of the Uzbekistan Commodity Exchange (UzEX), allowing exporters to engage in direct trade with the Afghan market while reducing additional banking costs.

The system is designed to simplify transactions by using secure financial instruments and bank guarantees, which significantly lower risks for both parties. Under the new framework, settlements are based on these guarantees, ensuring a smoother and more reliable flow of goods and payments.

According to Davron Vakhabov, Chairman of the Chamber of Commerce and Industry of Uzbekistan, the system was conceived following a directive from President Shavkat Mirziyoyev in September 2025. The President called for integrating the UzEX platform with a private Afghan bank to facilitate the supply of goods to Afghanistan, strengthening bilateral commerce.

To participate in the new trade mechanism, Uzbek exporters must register on the UzEX platform and list their products for exchange trading. Afghan buyers can then execute transactions through an Afghan bank, making an initial payment of 10% of the contract value. Upon successful agreement, the Uzbek supplier ships the goods, accompanied by the necessary documentation. The remaining 90% of the payment is held in bank accounts until the goods reach the Afghan border, at which point the funds are released to the seller.

In an additional layer of financial security, a private Afghan bank places funds in five Uzbek banks—Trustbank, Uzpromstroybank, Infinbank, Asaka Bank, and Agrobank—ensuring that payments are guaranteed for goods delivered.

Vakhabov emphasized that both the Chamber of Commerce and Industry and UzEX are fully committed to assisting Uzbek entrepreneurs in accessing the Afghan market. The introduction of this exchange-based system is expected to strengthen trade between the two countries, fostering economic growth and cooperation in the region.

Airlines are increasingly flying over Afghanistan, generating significant transit fee revenue for the country amid changing global flight patterns.

According to industry estimates, nearly 2,000 flights now pass through Afghan airspace each week—around five times more than a year ago. With a reported overflight fee of about $700 per aircraft, this amounts to roughly $1.4 million in weekly revenue, or more than $70 million annually.

The increase follows adjustments to international flight routes due to ongoing conflicts in other regions.

Airspace restrictions linked to the war in Ukraine in the north and instability in parts of the Middle East have narrowed traditional corridors between Europe and Asia. As a result, airlines have turned more frequently to routes over Afghanistan and other countries such as Saudi Arabia.

Charging for the use of national airspace is standard international practice. These fees—often referred to as route charges—are typically calculated based on factors such as distance flown and aircraft weight.

In Europe, for example, they are coordinated through organisations like Eurocontrol and distributed to national air navigation service providers, including Switzerland’s Skyguide, to support air traffic management and infrastructure.

Afghanistan’s current system applies a flat fee per aircraft, a structure that has been in place since 2017.

By comparison, countries such as Saudi Arabia calculate overflight charges based on distance and aircraft weight, with average fees reported at around $800 per flight.

Aviation experts note that while overflight arrangements continue, operational procedures in Afghan airspace differ from those in more developed systems. Airlines are required to submit flight plans in advance and coordinate closely while transiting the area.

Meanwhile, broader regional tensions have also affected airline operations beyond routing. Some carriers have suspended or reduced services to destinations in parts of the Middle East. Switzerland’s national carrier, Swiss International Air Lines, confirmed ongoing cancellations to destinations such as Dubai and Tel Aviv.

Travel company TUI Suisse has also temporarily scaled back offerings to several countries in the region, citing shifting demand and operational considerations.

Industry observers say passenger demand is now trending toward alternative destinations, including parts of Europe and the Caribbean, as travel patterns adjust to the evolving situation.