Türkiye and Iraq Plan $15 Billion Trade Route Linking the Gulf to Europe

Türkiye plans to help complete a new transportation corridor linking the Persian Gulf to Europe, creating a potential alternative to shipping through the Strait of Hormuz.

Turkish Transport and Infrastructure Minister Abdulkadir Uraloğlu said the route would connect Iraq’s Al-Faw Port with Türkiye and European markets through a network of railways, highways, energy transmission lines, and communications infrastructure.

The project was included in a package of five agreements signed on July 28 by Turkish President Recep Tayyip Erdoğan and Iraqi Prime Minister Ali Faleh al-Zaidi, according to local media reports.

Route From Southern Iraq to Türkiye

The proposed land corridor will begin at Al-Faw Port near Basra in southern Iraq and extend north to the Ovaköy border crossing in southeastern Türkiye.

Once operational, cargo—including petroleum products—could be transported through Türkiye’s domestic rail network and ports before continuing to European markets.

The project is expected to cost approximately $15 billion. A central part of the plan involves constructing new railway infrastructure across Iraq.

Construction Could Begin This Year

Uraloğlu said Türkiye aims to begin construction during 2026. The initial completion target is four to five years, although officials are discussing whether the timetable could be shortened to three years.

The corridor could provide regional exporters with another route to Europe while reducing their exposure to disruptions around the Strait of Hormuz, one of the world’s most strategically important energy transit points.

Türkiye Expands Regional Transport Ambitions

The Iraq-Europe corridor is part of Türkiye’s broader effort to position itself as a transportation and energy hub between the Middle East and Europe.

Ankara has also announced plans to develop a Hejaz railway route connecting Türkiye with Saudi Arabia through Syria and Jordan.