Railway Development - The Times Of Central Asia

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International transport

Kazakhstan Seeks to Strengthen Industrial Base Through Local Locomotive Manufacturing

Kazakhstan is expanding its railway engineering sector as a key pillar of its industrial policy aimed at reducing import dependence and strengthening technological sovereignty. The machinery industry remains one of the main indicators of an economy’s technological maturity. For Kazakhstan, its development represents not only domestic industrialization but also the strengthening of the country’s position as an exporter of high-value-added products. Railway engineering plays a particularly important role in this system. One of the anchor investors in the sector is Wabtec Corporation. Recently, Kazakhstan signed contracts with the company worth $4.2 billion. These agreements include the supply of 300 locomotives through 2036, as well as service maintenance, the implementation of digital systems, and equipment repair. On the sidelines of the 13th Forum of Machine Builders of Kazakhstan, Shyngys Altayuly, Product Director at Wabtec Corporation LLP, told The Times of Central Asia about the expansion of production localization and plans to manufacture a new generation of locomotives. Since 2009, the “Locomotive Kurastyru Zauyty” plant in Astana has been producing freight TE33A(S) Evolution locomotives, passenger TEP33A models, and shunting TEM11 units. Over this period, more than 700 locomotives have been manufactured for the state railway company Kazakhstan Temir Zholy, including over 40 units exported to CIS countries and neighboring markets. “With the introduction of our Evolution series TE33A locomotives in Kazakhstan, lifecycle costs have been reduced while ensuring high operational readiness across the country’s locomotive fleet,” Altayuly noted. He also emphasized that over the past 25 years, 75% of all mainline AC diesel locomotives purchased globally have been produced by Wabtec. From Imports to Sovereignty The plant has localized the production of all major components, including the main frame, diesel compartment, driver’s cab, generator, equipment and air compartments, bogie frame, and other elements. This reduces dependence on external suppliers amid unstable global logistics. At the same time, the facility is expanding cooperation with local suppliers. Kazakh enterprises produce elements of the running gear, safety systems, electronics, and a range of other components, including metal structures, driver’s cabins, wheels, and safety system components. “In this way, we are building a domestic value-added engineering chain. This includes not only locomotive production itself but also the entire component base used in assembly,” Altayuly explained. According to him, the localization level has already reached 40%, and further expansion is underway. Components planned for future localization include casting, lighting systems, heated windshields, driver’s seats, piping products, and cable systems. “Once a company becomes a supplier to JSC ‘LKZ,’ it gains access to international markets. Wabtec operates in 50 countries, and our products are used in more than 100 countries worldwide. Therefore, any enterprise that completes this process and becomes a reliable supplier will gain access to global markets,” Altayuly added. Debut of a New Locomotive The next stage of development will be the launch of the new T33AT locomotive, scheduled for production in 2027. The project is being implemented as part of the Wabtec-KTZ partnership and reflects a strategy of integrating global technologies into the national industry....

Middle Corridor

The World Bank Backs Kazakhstan’s Rail Shortcut

On February 19, 2026, the World Bank Board approved an $846 million IBRD guarantee to help the state-owned railway company Kazakhstan Temir Zholy (KTZ) mobilize $1.41 billion in long-term commercial financing. The financing is linked to a KTZ reform program under the umbrella “Transforming Rail Connectivity in Kazakhstan (Middle Corridor Development)” initiative. The purpose is to expand rail connectivity and upgrade logistics on Kazakhstan’s segment of the Trans-Caspian International Transport Route (TITR, Middle Corridor). The Asian Infrastructure Investment Bank (AIIB) will add a $564 million co-guarantee that shifts the financing away from a classic sovereign-loan model and toward private credit backed by multilateral risk coverage. The Multilateral Investment Guarantee Agency (MIGA) presents this operation as part of a wider World Bank Group approach that pairs corridor capital expenditure with steps to strengthen the operator’s financial sustainability and commercial viability. The operation is structured as a two-part package. First, it finances a new 322.3-kilometer railway on a new segment between Mointy and Kyzylzhar in central Kazakhstan. This segment is meant to remove a major network detour, shorten the TITR route within Kazakhstan by 149 kilometers, ease congestion on heavily used sections, and support double-stack container operations. The line is planned with modern signaling and telecommunications, plus design provisions for later expansion and electrification. Second, it ties the construction to a reform program at KTZ, including tariff reform, exploration of alternative financing mechanisms, stronger financial and environmental management, and preparatory work for a potential initial public offering. The World Bank is structuring delivery through a Multi-Phase Programmatic Approach with the stated aim of tripling freight volumes and halving end-to-end transit times on Kazakhstan’s Middle Corridor segment by 2030. Why This Segment Matters for the Middle Corridor Inside Kazakhstan, the Mointy–Kyzylzhar line is a central connector in the Trans-Kazakhstan east–west trunk carrying traffic from the China-facing gateways at Dostyk and Khorgos toward the Caspian outlets at Aktau and Kuryk. Mointy itself is a pivotal junction where train paths, locomotives, and crews are redistributed across multiple directions; as a result, any congestion there propagates quickly into corridor-wide delays. In early 2025, President Kassym-Jomart Tokayev directed acceleration of the Trans-Kazakhstan corridor. KTZ says the expected benefits include decreased pressure on heavily used central segments, fewer locomotive changeovers at key junction points, and, on some routings, the potential to cut more than a day from transit time between the Chinese border and Aktau. The World Bank’s 2023 Middle Corridor study stressed that the corridor’s most durable growth driver is regional trade among the core corridor economies: China–Europe movements remain important, but they compete with multiple alternatives, above all maritime shipping. An infrastructure upgrade adds economic value only if it reduces variability at the handoff points where delays accumulate, including rail-to-port interfaces, Caspian coordination, and national borders. Relieving the domestic bottleneck in Kazakhstan is economically meaningful only insofar as it stabilizes arrival times to Caspian terminals, creates more room for dispatching, and helps logistics providers offer shippers more predictable end-to-end service along the TITR. The emphasis is...

Geopolitics

Central Asia’s Road to the Southern Seas: A Search for Stability

India has confirmed that it received a six-month sanctions waiver from the United States for its involvement in developing Iran’s Chabahar port. According to The Times of India, the decision followed intensive diplomacy by New Delhi, which convinced Washington that Chabahar provides India’s only practical overland access to Central Asia that avoids Pakistan. Through Chabahar, India is building a land-based counterpart to the China-Pakistan Economic Corridor, creating an alternative axis linking the Indian Ocean with Eurasia while bypassing Islamabad and Beijing. The exemption, valid until April 2026, gives India room to negotiate with Washington. For Central Asia, the episode reflects a broader challenge: choosing viable routes to the southern seas. Current debates about “Afghan transit” focus largely on the Trans-Afghan Railway and the so-called Kabul corridor connecting northern Afghanistan with Pakistan’s ports. Yet Afghanistan’s transport network is forming along multiple lines. Alongside the eastern route, a western corridor from Herat to Kandahar and Spin Boldak is also developing, offering access both to Pakistan and to Chabahar. The integration of western Afghanistan’s infrastructure with Iran’s transport network makes this corridor more reliable under today’s political and security conditions. It aligns with projects pursued by Iran, Turkmenistan, and Afghanistan and positions Herat as a major hub. It is also close to the North–South Transport Corridor, the Lapis Lazuli and Middle Corridors, and the Caspian and Persian Gulf regions. The planned Mazar-i-Sharif–Herat line fits the logic of the Five Nations Railway Corridor, potentially giving Tajikistan and Uzbekistan access to Chabahar and, if stability improves, to Pakistan’s ports as well. By contrast, the eastern route will remain constrained by the unstable Afghan–Pakistani border and the volatile relationship between Kabul and Islamabad. Afghanistan’s own priorities also differ from outside assumptions: the Herat–Kandahar–Spin Boldak line primarily serves as an internal transport spine linking the west and south. For Kabul, the route to Gwadar is more a political gesture than a practical goal. Some analysts note that developing the western corridor also helps rebalance the country’s economic geography toward its more diverse western regions. These dynamics strengthen the western route’s appeal. The Taliban leadership has even urged Afghan businesses to reduce reliance on Pakistani ports, signaling a structural shift in trade orientation. Both Chabahar and Gwadar face political risks. Pakistan’s transit routes pass through areas affected by insurgency, including Balochistan and Khyber Pakhtunkhwa, as well as the broader narcotics routes of the Golden Crescent. The greatest uncertainty remains the fluctuating relationship between Kabul and Islamabad. Gwadar, while technologically superior, is undermined by chronic instability. Chabahar’s capacity is more modest, but its integration with Iran’s road and rail network provides reliability. The United States adds another layer of complexity. The waiver suggests Washington is balancing its Iran sanctions regime with its strategic partnership with India. The United States is not directly involved in regional infrastructure but retains enough influence to shift the balance between the western and eastern routes. Under certain conditions, Gwadar may appear less problematic for Washington than Chabahar. At the same time, selective sanctions exemptions...

internet access

Next Stop, Wi-Fi: Kazakhstan Pilots Satellite Internet on Rails

Just a few years ago, internet access on passenger trains in Kazakhstan seemed like an unattainable dream. Today, this service is becoming a reality. In an interview, Anuar Akhmetzhanov, Chairman of the Board of JSC Passenger Transport, told The Times of Central Asia that providing passengers with access to high-speed internet on trains is one of the key directions in the digitalization of the passenger transportation sector. Since the beginning of this year, the national company, Kazakhstan Temir Zholy (Kazakhstan Railways), together with the official distributor of the low-orbit satellite network OneWeb in Kazakhstan, has launched a pilot project to provide internet access on passenger trains. The service was first introduced on the Astana–Almaty route, and in the spring, on the Astana–Oskemen route. According to Akhmetzhanov, Kazakhstan is among the first countries in the world to implement low-orbit satellite internet on passenger trains. In addition, internet access based on Starlink technology was recently launched in pilot mode on the Astana–Borovoe electric train. “The preliminary results of the pilot project show strong demand from passengers. According to surveys, 87% of our passengers are satisfied with the quality of the internet, and the service meets their expectations,” said Akhmetzhanov. High-speed internet of up to 150 Mbps benefits both passengers and the carrier. Travelers can remain connected throughout the journey, have access to various online services, make online payments during the trip, and enjoy unlimited entertainment options. JSC Passenger Transport will, in turn, gain additional opportunities to sell tickets, control passenger boarding, provide additional services, and ensure safety control by connecting an onboard video surveillance system. “As of today, only three trains are equipped with internet. Work is underway to expand the service to all types of trains. Based on testing results, we plan to roll out the solution to all major routes as early as next year,” noted Akhmetzhanov. One of the main questions for passengers is whether the introduction of internet services on trains will affect ticket prices. On this point, Akhmetzhanov stated that an increase in ticket prices is not currently under consideration. “However, to reduce and offset expenses, the national carrier, together with its partner, is conducting market research on the demand for paid internet packages with higher speeds,” he said. For example, the operator Jusan Mobile offers paid internet services; currently, passengers can choose tariffs for the entire trip or purchase 1 GB packages with the option to increase the volume as needed. There are no restrictions on which internet resources can be accessed. In the near future, JSC Passenger Transportation is preparing to launch internet services on trains traveling on western routes, such as Aktobe–Almaty, Kyzylorda–Semey, and others. The Train Internet project, based on satellite technology, ensures a stable, high-speed connection even in remote and hard-to-reach regions where traditional mobile services are limited. For Kazakhstan, with its vast territory and long travel distances, providing internet access on passenger trains is a service in high demand.

Railway Development

Kazakhstan Accelerates Railway Modernization to Boost Transit Capacity

Kazakhstan is embarking on a large-scale modernization of its 16,000 kilometer railway network to significantly increase transit capacity, despite 57% of its infrastructure being worn out, Transport Minister Nurlan Sauranbayev announced at a recent government meeting. Sauranbayev acknowledged that the aging network affects both the speed and safety of freight, including transit trains. “The infrastructure is operating at full capacity,” he said. “To improve efficiency and sustainability by 2030, we plan to build new lines, modernize 5,000 kilometers of existing track, and repair another 11,000 kilometers.” Five new railway lines are currently under construction: Dostyk-Moyinty (linking the Chinese border to central Kazakhstan) Almaty bypass line (southern Kazakhstan) Darbaza-Maktaaral (Turkestan region) Moyinty-Kyzylzhar (connecting the west and center) Bakhta-Ayagoz (eastern Kazakhstan, to enhance trade with China) Two projects Dostyk-Moyinty and the Almaty bypass, are scheduled for early completion this year. The remaining lines will be finished by 2026. This year also marks the launch of a large-scale modernization of 3,000 kilometers of track, which the minister described as equivalent to constructing entirely new lines. “These projects are shaping a full-fledged railway framework for Kazakhstan,” Sauranbayev stated. Additionally, rail traffic to China has resumed through the Dostyk station. Kazakhstan currently hosts five international railway corridors. Transit volume is expected to rise sharply, from 33 million tons in 2025, to 54 million tons in 2026, and 67 million tons by 2029. Forecasts suggest volumes could reach 100 million tons by 2035, worth an estimated 4.4 trillion tenge (approximately $9.1 billion). “Our goal is to reach this figure even sooner,” the minister noted. Transit traffic has already doubled over the past decade, reaching 27.4 million tons in 2024. Seven cargo handling terminals now operate at Kazakhstan’s borders, with two more to open soon and five additional facilities planned. “This will establish a terminal network along the East-West route. We offer a transit product based on three pillars: delivery time, tariffs, and service,” Sauranbayev said. He also highlighted the stability of tariffs along the Trans-Caspian International Transport Route (TITR), or “Middle Corridor,” which connects Kazakhstan to Europe while bypassing Russia. Tariffs have remained unchanged for three years. Preparations for an intergovernmental agreement on further development of the route are set to begin shortly. As previously reported by The Times of Central Asia, the national railway company Kazakhstan Temir Zholy (KTZ) announced in December that customs declaration procedures for transit cargo along the Middle Corridor have been digitalized.

Trans-Caspian Route

Kazakhstan and Turkey to Jointly Develop Trans-Caspian Transport Route

Kazakhstan’s national railway operator, Kazakhstan Temir Zholy (KTZ), and Turkey’s TCDD Taşimacilik A.Ş. have signed a cooperation agreement to enhance railway freight transportation along the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor. Bypassing Russia, the TITR links China and Europe via Central Asia and the Caspian Sea. Freight volumes along the corridor surged by 60% in 2024, reaching 4.5 million tons. Projections suggest that figure could surpass 10 million tons by 2030. According to KTZ, the agreement outlines several joint initiatives aimed at improving the route’s efficiency and competitiveness. Key measures include: Launching regular rail services between Kazakhstan and Turkey; Increasing freight volumes on the Baku-Tbilisi-Kars railway line; Expanding two-way cargo flows between China and Europe/Africa; Streamlining transit procedures and logistics coordination; Simplifying customs and administrative processes to speed up cross-border cargo movement. The partnership will also focus on implementing digital solutions such as paperless documentation and real-time tracking of containers and rolling stock. These initiatives are expected to enhance Kazakhstan’s transit and logistics capacity and reinforce its strategic role in global supply chains. The agreement was signed during President Kassym-Jomart Tokayev’s official visit to Turkey. During the visit, Tokayev reiterated Kazakhstan’s commitment to developing the Trans-Caspian route and highlighted interest in attracting Turkish investment in key infrastructure sectors, including railways, dry ports, cargo terminals, and shipbuilding. As part of the visit, KTZ also held talks with Mersin International Port, part of the PSA International Group, on expanding cooperation to develop the Middle Corridor and establish more efficient multimodal logistics links between Asia and Europe. KTZ Chairman Talgat Aldybergenov affirmed both sides’ commitment to ensuring stable freight volumes and underscored Mersin’s role as a strategic transshipment hub for the Middle Corridor. To further strengthen the logistics chain, Kazakhstan proposed leveraging the potential of KPMC, a joint venture between KTZ and PSA International, which is already involved in developing multimodal services along the Xi’an-Istanbul route.