• KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10877 -0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10877 -0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10877 -0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10877 -0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10877 -0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10877 -0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10877 -0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00194 -0%
  • TJS/USD = 0.10877 -0%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28571 0%
16 December 2025

Trump and Tokayev Secure a Historic $4.2 Billion Locomotive Deal

Washington, D.C. – The United States and Kazakhstan have finalized the largest locomotive agreement in history, a $4.2 billion deal that underscores American industrial strength and deepens ties between the two nations. The announcement came following a call between President Donald Trump and Kazakhstan’s President Kassym-Jomart Tokayev, which officials say directly helped bring the deal across the finish line.

The U.S. Department of Commerce confirmed that Pennsylvania-based Wabtec will supply about 300 Evolution Series locomotives, in kit form, to Kazakhstan’s state railway over the next decade. Commerce Secretary Howard Lutnick emphasized the scale of the export package, writing on X that the deal is “more than just a huge success story. It’s about American innovation leading the world, supporting thousands of jobs in TX & PA, and strengthening the U.S.–Kazakhstan partnership.” For Trump, the Pennsylvania tie is notable — the state is both home to Wabtec and a perennial battleground in presidential politics.

What Trump and Tokayev said

President Trump celebrated the breakthrough personally on Truth Social:

“I just concluded a wonderful call with the Highly Respected President of Kazakhstan, Kassym-Jomart Kemeluly Tokayev. They have signed the largest Railroad Equipment Purchase in History, $4 Billion Dollars Worth of United States Locomotives and Rail Equipment”.

He continued:

“Congratulations to President Tokayev on his great purchase. This Country, and the World, was built on reliable, beautiful Railroads. Now they will be coming back, FAST!”

Earlier in September, Trump had told reporters he had a “great conversation” with Tokayev — a remark that signaled improving ties between Washington and Astana ahead of the deal. On Sept. 22, the Commerce Department formally confirmed the $4.2 billion agreement. Commerce Secretary Howard Lutnick, in a separate statement on X, emphasized that the leaders’ engagement helped pave the way and argued the deal strengthens an enhanced strategic partnership while embedding American technology in Eurasian connectivity.

President Tokayev, for his part, has emphasized transport and logistics as central to Kazakhstan’s role as a “link between Europe and Asia,” calling for expanded rail infrastructure and modern customs systems. In July, amid tariff tensions, he assured Trump in a letter that Kazakhstan was “ready for constructive dialogue” and was confident a compromise could be reached — a posture that laid groundwork for the closer economic cooperation reflected in this deal.

Why It Matters: Unlocking Regional Corridors to the West

The locomotives will reinforce capacity along the Trans-Caspian “Middle Corridor,” a trade route carrying goods from Central Asia through the South Caucasus and into Europe—an alternative to Russian and Iranian transit that governments have accelerated since 2022.

A critical gap in that chain was addressed through U.S.-brokered diplomacy in August 2025, when President Trump hosted Armenian Prime Minister Nikol Pashinyan and Azerbaijani President Ilham Aliyev at the White House. The two leaders signed a peace declaration after decades of conflict and committed to reopening transport links, most notably a 42-kilometer passage through Armenia’s Syunik province, commonly called the Zangezur corridor or the Trump Route for International Peace and Prosperity (TRIPP).

By agreement, Armenia retains sovereignty, while the corridor connects Azerbaijan with its Nakhchivan exclave and onward to Türkiye, at the same time drawing Armenia more directly into east–west trade. Analysts describe TRIPP as the missing link in the Middle Corridor, creating a continuous rail, road, and energy corridor from Central Asia to Europe. In practice, the Armenia–Azerbaijan settlement has enabled not just peace, but the completion of regional corridors critical for linking Eurasia with the West. By reducing political risk and clarifying transit rules under Armenian jurisdiction, the deal lowers costs, increases predictability, and strengthens the overall resilience of Eurasian connectivity.

The United States and Kazakhstan have built a strong foundation of enduring economic ties, anchored by long-term strategic partnerships that date back to the early 1990s. These ties have proven resilient to political and economic shifts, reflecting the depth of mutual commitment. Today, Kazakhstan represents the central footprint of U.S. engagement in Eurasia, serving as the region’s largest recipient of American foreign direct investment, with nearly $45 billion in cumulative stock.

The Bottom Line

Taken together, the Wabtec–Kazakhstan export, Trump–Tokayev engagement, and the Armenia–Azerbaijan peace and transit agreements embed American rail technology and standards into Eurasia’s core infrastructure, while giving Kazakhstan new capacity to advance its ambition of becoming the region’s leading transit hub.

Kazakhstan and China Expand Cooperation in Water Management

Kazakhstan’s Ministry of Water Resources and Irrigation has signed a memorandum of cooperation with Power China to strengthen bilateral collaboration in water management.

The agreement outlines plans for modernizing hydraulic infrastructure, reconstructing irrigation systems, and enhancing technical capacity through training programs and specialist exchanges. It also includes provisions for digitalization, investment in water conservation, and the efficient use of water resources. The cooperation extends to scientific research, hydrogeology, and the training of groundwater management specialists.

As part of the agreement, the fourth group of Kazakh water sector professionals is currently undergoing advanced training at Power China facilities. Since the beginning of 2025, 125 specialists from Kazakhstan have been trained in China, with another 200 expected to join the program in 2026. All training expenses are being covered by the Chinese side.

This follows the first-ever memorandum of understanding on water cooperation signed between the governments of Kazakhstan and China in March 2025. That agreement emphasized the rational and sustainable use of water resources, the adoption of modern technologies, alternative water sourcing, experience-sharing, and the joint training of water management personnel.

The collaboration is especially significant given the shared hydrological landscape: three of Kazakhstan’s major rivers, the Irtysh, Ili, and Emel, originate in China. In the first half of 2025, Kazakhstan received 10.2 billion cubic meters of water from China via these transboundary rivers, including 4.6 billion cubic meters from the Irtysh and 5.6 billion from the Ili.

Increased inflow from the Ili River enabled the Kapchagay Reservoir in the Almaty region to reach full capacity for the second consecutive year. Since the beginning of 2025, some 8.52 billion cubic meters of water have been directed downstream to Lake Balkhash, raising its water level by an average of 32 centimeters in the first half of the year.

The Ili River alone contributes nearly 70% of Lake Balkhash’s total inflow, making it a critical source for maintaining the ecological balance of the region.

After Berdimuhamedov Sr.’s Visit, Azerbaijan to Gift Oil Tanker to Turkmenistan

On the sidelines of an investment forum in the Turkmen resort of Awaza, Azerbaijan’s Deputy Minister of Economy, Sahib Alekperov, announced that Baku will gift an 8,000-ton oil tanker to Turkmenistan. The gesture is intended as a symbol of goodwill and a marker of deepening relations between the two Caspian neighbors.

From Symbolism to Infrastructure

According to Alekperov, the tanker project is expected to be completed by the end of this year or early next. He emphasized that bilateral ties are increasingly rooted in practical cooperation. In August, Azerbaijan and Turkmenistan signed a memorandum to expand international air services, aiming to establish a reliable “air bridge” across the Caspian Sea.

“This route will be in high demand among passengers,” said Alekperov, noting that better connectivity will benefit not only Azerbaijan and Turkmenistan but the broader Caspian region. Drawing a historical parallel, he added, “As it was once said that all roads lead to Rome, we can now claim that all roads lead through Turkmenistan, the shortest path between Europe and Asia.”

He also noted that growing transport cooperation will enhance the investment climate and produce tangible outcomes, especially in light of the warm political ties at the highest level.

Broadening Turkmen-Azerbaijani Cooperation

The goodwill gestures extend beyond the tanker handover. On September 12, Turkmenistan announced plans to construct a mosque in the Azerbaijani city of Fuzuli. The Ministry of Construction and Architecture has since opened a tender for the project.

Political dialogue has also intensified in recent months. In July, Gurbanguly Berdimuhamedov, Chairman of Turkmenistan’s Halk Maslahaty, paid an official visit to Azerbaijan, accompanied by his daughter Oguljahan Atabaeva, Vice President of the charitable foundation bearing his name.

During meetings with Azerbaijan’s President Ilham Aliyev, both sides discussed expanding transport and infrastructure cooperation, as well as boosting bilateral trade. Humanitarian collaboration was also a key topic. Atabaeva met with Leyla Aliyeva, Vice President of the Heydar Aliyev Foundation.

At the conclusion of the visit, Berdimuhamedov delivered an official invitation from his son, President Serdar Berdimuhamedov, for Aliyev to visit Turkmenistan. In a statement, Aliyev’s office reaffirmed the strategic nature of the partnership:

“Our nations are united by deep traditions of brotherhood, and these ties have grown even stronger during the years of independence. We are successfully cooperating in many areas,” said the Azerbaijani president.

Faith and Diplomacy: Kazakhstan Reconciles Religious Leaders

On September 17-18, 2025, Kazakhstan’s capital hosted the 8th Congress of Leaders of World and Traditional Religions. The event reinforced what has become increasingly evident: the Congress is evolving into a meaningful instrument of global dialogue, one President Kassym-Jomart Tokayev hopes to leverage in his broader efforts to reform the United Nations.

Three years ago, the 7th Congress was notable for the visit of the late Pope Francis, who held a mass in Astana for residents and guests of the capital. This year’s edition welcomed another high-profile religious figure: Patriarch Kirill of Moscow and All Russia, head of the Russian Orthodox Church, who echoed the growing view that the Congress now carries global influence.

“We have truly found a global interfaith platform, a group of people interested in working together for peace and prosperity,” Patriarch Kirill said. “Alongside other significant platforms, we can participate in solving, or at least studying, the problems confronting all of humanity. It is important that religious leaders of different faiths work hand in hand today as one family, which speaks to the closeness of our positions.”

In his opening remarks, President Tokayev described the global situation as one of rising tension and deepening instability. “Hybrid wars being waged across various regions have no clear front lines, yet they result in significant casualties, refugee crises, and massive damage to the world economy,” he said. “The risk of nuclear conflict is greater now than at any point in recent decades.”

In such a climate, Tokayev argued, the moral authority of religious leaders is more vital than ever. “We are placing our hopes on religious figures to help prevent global chaos, reminding politicians of common sense, goodwill, and moral responsibility.”

He proposed further development of his earlier idea, a global “Movement for Peace” under the umbrella of the Congress. “Religious hierarchies could become the moral backbone of such a movement, issuing a neutral and apolitical call to end violence and seek peaceful solutions. Grounded in universal values like the sanctity of life, compassion, and mercy, it could unite not only believers, but also political leaders, NGOs, experts, and youth,” Tokayev said.

Over the next two days, delegates from 60 countries, representing diverse cultures, civilizations, and faiths, gathered to discuss major global challenges. Their work culminated in the Declaration of the VIII Congress of Leaders of World and Traditional Religions, which was read at the closing session by George Jacob Kuttianickal, Prefect of the Dicastery for Interreligious Dialogue of the Holy See.

The Declaration endorsed Tokayev’s peace initiative and emphasized the need to intensify international dialogue. It proposed a series of global and regional events to advance a culture of peace, as well as active promotion of the Congress’s goals within the UN and other international forums.

“We call on the international community and the UN General Assembly to acknowledge the Congress’s 20-year contribution to dialogue and harmony among religions, and to strengthening peace and mutual understanding,” the Declaration stated.

Delegates also reaffirmed Kazakhstan’s growing role as a respected international center for intercultural and interfaith dialogue, agreeing to hold the 9th Congress in Astana in 2028. The Declaration will be circulated as an official document during the 80th session of the UN General Assembly.

The final document reflects not only the vision of the president but also the diplomatic groundwork laid by Kazakhstan’s foreign ministry. During the Congress, Tokayev held personal meetings with major religious leaders, including the Patriarchs of Moscow and Jerusalem; Israel’s Chief Ashkenazi Rabbi Kalman Ber and Chief Sephardic Rabbi David Yosef; and Malcolm Hoenlein, Executive Vice President of the Conference of Presidents of Major American Jewish Organizations.

He also met with representatives from the Islamic world, including delegations from the Caucasus and the Middle East.

As Kazakh political scientist Marat Shibutov stated, “It used to be hard enough just to get imams and rabbis from the Middle East to sit at the same table. This time, sparks were flying throughout the Congress. At the closing session, the Chief Sephardic Rabbi nearly got into a confrontation with an imam from Al-Azhar. It was tough for the organizers, but they pulled it off.”

With the UN General Assembly’s 80th session underway in New York, Kazakhstan’s interfaith diplomacy is expected to feature in the discussions.

Kyrgyzstan Faces Power Shortages Amid Record Low Water Levels at Toktogul Reservoir

Kyrgyz authorities have warned of potential rolling blackouts this winter due to critically low water levels at the country’s main hydropower facility, the Toktogul Hydroelectric Power Station.

At a press conference in Bishkek, Energy Minister Taalaibek Ibraev reported that as of mid-September, the Toktogul reservoir had accumulated just 10.8 billion cubic meters of water, 1.5 billion cubic meters less than at the same time last year. The shortfall significantly limits the country’s electricity generation capacity during peak winter demand.

“Kyrgyzstan is facing a persistent energy crisis, exacerbated by insufficient water reserves amid global warming and rising demand for electricity,” Ibraev stated.

Hydropower provides around 90 percent of Kyrgyzstan’s electricity. If water levels at Toktogul fall to 6.5 billion cubic meters, the turbines will be unable to function, increasing the risk of large-scale outages.

Officials clarified, however, that the current deficit does not necessarily mean the country will face a total blackout during the winter of 2025-26. On the eve of the announcement, energy ministers from Kyrgyzstan, Kazakhstan, and Uzbekistan met in the town of Cholpon-Ata, where they agreed to facilitate electricity transit from Russia and Turkmenistan through their respective territories.

“Through joint efforts, we will ensure an uninterrupted power supply to our cities and strengthen regional energy security. We expect our Kazakh and Uzbek colleagues to adhere to the delivery schedules set out in the signed protocols,” Ibraev added.

Kazakhstan to Invest $24 Billion in Energy Modernization

Kazakhstan has launched a National Project to modernize its energy and utility sectors for the period 2025-2029, with planned investments of 13 trillion tenge (over $24 billion). The initiative aims to upgrade existing infrastructure and construct new power generation, transmission, and water supply systems.

Deputy Prime Minister Kanat Bozumbayev announced the preliminary cost estimate during the “National Project for the Modernization of the Energy and Utility Sectors: Opportunities for Kazakh Business” conference. According to Bozumbayev, the funds will support the repair and construction of 86,000 kilometers of utility networks and add 7.3 GW in new generation capacity.

“Today, we have established the necessary regulatory framework to ensure long-term and affordable financing from financial institutions. We have now moved to the practical stage of the National Project. This year, pilot investments of around 144 billion tenge ($266 million) have been raised for 48 natural monopoly entities,” Bozumbayev stated.

Financing will be sourced both domestically and internationally. The Kazakhstan Housing Company has already purchased bonds worth 22.5 billion tenge ($41 million) from local administrations in the Karaganda, Pavlodar, West Kazakhstan, and North Kazakhstan regions. The Development Bank of Kazakhstan is also finalizing assessments for selected projects.

International partners are also involved. The European Bank for Reconstruction and Development is financing the construction of wastewater treatment facilities in the Aktobe region. Chinese companies are under consideration as potential partners for upgrading and building new coal-fired power plants. “There are certain restrictions on state-backed export financing from this country, but private companies have financial capabilities and experience operating in multiple countries,” Bozumbayev noted.

Authorities expect to finalize financing sources for 2026 by year-end, while procurement and design procedures are scheduled to begin. “Funding will be provided through the state budget and market instruments. The National Project will also apply new procurement mechanisms aligned with international practices, including EPC contracts and consortium-based construction,” Bozumbayev added.

Vice Minister of National Economy Assan Darbayev emphasized that reducing the wear and tear on heating, electricity, water supply, and wastewater networks to below 50% will require investments of 6.8 trillion tenge ($12.5 billion). The program includes 15 new generation projects worth 4.4 trillion tenge ($8 billion), along with 14 modernization projects for existing facilities valued at 1.8 trillion tenge ($3.3 billion). These measures are expected to reduce overall depreciation by 15%.

As previously reported by The Times of Central Asia, Kazakhstan has faced worsening electricity shortages in recent years. In 2024, the shortfall between supply and demand reached 2.4 billion kWh, up from 2.2 billion kWh in 2023.