The Chinggis Khaan International Airport suffers from
occasional high winds and has a relatively short runway unsuitable for 747s and
larger aircraft. The planned new airport, to be built in the Khoshigt Valley,
near Terelj in Tov Aimag, about 54 kilometers from the capital, and completed
by 2015, will be able to service all larger modern aircraft and affords better
protection from strong wind. It should reduce annual flight cancellations and
delays from the current level of 2.5 percent down to 0.5 percent.

Capacity is set to rise from the current level of 600,000
passengers annually to roughly 2.5 million passengers annually. Cargo capacity
is set to increase 10-fold. Improvements in air travel will also lessen
dependence on rail links to China. Increasing alternative transportation routes
to provide options other than reliance on China are increasingly being seen as
a desirable policy.