ANKARA, Aug. 3 (Xinhua) -- As Iraq and Türkiye move to advance the Development Road Project, a flagship infrastructure project aimed at strengthening trade links between the Gulf and Europe, analysts view the ambitious corridor as a strategic alternative to vulnerable maritime chokepoints, though financing gaps and persistent security challenges could hamper its progress.
The 17-billion-U.S.-dollar project, a road, rail and pipeline corridor linking the Al-Faw Grand Port in southern Iraq with Europe via Türkiye, has regained momentum since its launch three years ago, after Baghdad and Ankara signed a formal agreement during Iraqi Prime Minister Ali al-Zaidi's visit to Ankara last week to begin construction by the end of 2026.
The renewed push follows recent U.S.-Iran tensions that disrupted shipping through the Strait of Hormuz, with the ripple effects also affecting Red Sea routes, two of the world's key oil and trade chokepoints.
Analysts say the regional crisis has increased the strategic value of overland alternatives connecting the Gulf with European markets.
"The project had already been delayed for years, but current geopolitical conditions demonstrate the importance of having a westward land corridor capable of maintaining trade flows when maritime routes face disruption," said Ali Oguz Dirioz, an associate professor at TOBB University in Ankara specializing in trade and energy corridors.
Dirioz argued that even if Gulf tensions ease, the crisis has left a lasting impression on governments and businesses alike regarding supply chain risks.
"Even if the Hormuz crisis ends tomorrow, its legacy will remain. Countries will continue looking for more resilient transport networks instead of relying on a single maritime route," he said.
Batu Coskun, a non-resident researcher at the United Arab Emirates-based TRENDS Research and Advisory, said the corridor offers Iraq an opportunity to "diversify revenue beyond hydrocarbons while reducing its dependence on transit routes controlled by neighbouring countries."
For Türkiye, meanwhile, the corridor would reinforce its long-standing ambition to become a major gateway between the Gulf and Europe, Coskun told Xinhua.
However, he cautioned that political ambition alone will not guarantee success.
Despite its strategic appeal, Coskun warned that financing remains one of the project's biggest obstacles, saying, "Iraq's budget remains heavily dependent on oil revenues, while Gulf partners have so far shown stronger political support than concrete financial commitments."
Security also remains a concern.
The project, launched by Iraq in 2023, traverses 11 Iraqi governorates, including volatile regions where security remains tenuous, according to Coskun. He stressed that the project's viability hinges on sustained stability, effective coordination between Baghdad and the Kurdistan Regional Government, and clarity over which forces will guard the infrastructure.
Even after completion, Coskun cautioned against excessive optimism, noting the corridor will carry only a fraction of Suez Canal traffic. Its true value, he added, is as a hedge against geopolitical shocks that drive up insurance premiums or halt sea freight.
"The corridor provides optionality rather than replacing existing routes," he said. ■
