Railways - The Times Of Central Asia

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Strategic Partnership

Tokayev in New York: $100B U.S. Investment Push Boosts Kazakhstan Ties

Kazakhstan and the United States are continuing to strengthen their strategic partnership, with investment playing a central role. At a roundtable with U.S. business representatives in New York, President Kassym-Jomart Tokayev stated that American investments in Kazakhstan’s economy have surpassed $100 billion. “Today, more than 630 American companies are successfully operating in our country, including Chevron, ExxonMobil, Boeing, Visa, Mastercard, Meta, Wabtec, and Citibank. We regard the U.S. as an important strategic partner and reaffirm our commitment to further developing multifaceted cooperation,” Tokayev said. The president noted that Kazakhstan’s economy grew by 6.5% in the first eight months of 2025. He added that ongoing political and economic reforms are creating favorable conditions for long-term growth and attracting further investment. Energy and Uranium: The Cornerstone of Cooperation Energy continues to underpin U.S.-Kazakhstan relations. “We recognize and highly value the large and successful investments of Chevron and ExxonMobil over the past 30 years. Despite all the turbulence in regional geopolitics, their presence in our country has never been questioned,” Tokayev said. He pointed out that Kazakhstan supplies about 40% of the global uranium market and nearly a quarter of U.S. imports. Tokayev also highlighted Kazakhstan’s “four sources” strategy - oil, gas, coal, and uranium - and expressed support for the U.S. approach to coal as a reliable energy source in the near term. $4.2 Billion Wabtec Agreement: A Landmark Deal A key outcome of Tokayev’s U.S. visit was the signing of a $4.2 billion agreement with American locomotive manufacturer Wabtec. According to the U.S. Department of Commerce, the deal will see Kazakhstan’s national railway company, Kazakhstan Temir Zholy (KTZ), acquire 300 ES44Aci Evolution Series freight locomotives over the next decade. U.S. Secretary of Commerce Howard Lutnick described the contract as the "largest in history,” noting it would create approximately 11,000 jobs in Texas and Pennsylvania. “This is not just a story of massive success, it’s an example of how American innovation strengthens global leadership,” he posted on X. Wabtec President and CEO Rafael Santana added, “This project represents KTZ’s ambition to transform Kazakhstan’s railway network into a key bridge between Europe and Asia.” Tokayev has emphasized that Kazakhstan is upgrading transport hubs and rolling out a “Smart Cargo” digital customs and logistics system to streamline east–west and Trans-Caspian transit traffic. Presidential Support: Trump and Tokayev Hold Call The Wabtec agreement was preceded by a phone call between U.S. President Donald Trump and President Tokayev. “I just concluded a wonderful call with the Highly Respected President of Kazakhstan, Kassym-Jomart Kemeluly Tokayev,” Trump wrote on Truth Social. He emphasized the significance of the locomotive deal and linked it to his broader support for revitalizing U.S. infrastructure. “We need to support our rail industry, which has been attacked for years by ‘fake environmentalists.’ Now railroads are coming back and fast!” he said. Observers noted that Trump’s personal involvement underscored the political importance of the agreement for bilateral relations. Green Energy Progress: SAF Plant with LanzaJet Another notable development was the agreement between Kazakhstan’s national oil...

United Nations

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...

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.

Railways

EDB to Fund Feasibility Study for Railway in Kyrgyzstan’s Issyk-Kul Region

The Eurasian Development Bank (EDB) will provide a grant to Kyrgyzstan’s national railway company, Kyrgyz Temir Jolu, to prepare a preliminary feasibility study for a new railway line connecting the cities of Balykchy and Cholpon-Ata in the Issyk-Kul region. Balykchy and Cholpon-Ata are located 79 km apart. At present, the railway linking Kyrgyzstan’s capital, Bishkek, with Lake Issyk-Kul ends in Balykchy. The planned section would extend the line to Cholpon-Ata, the main resort city on the lake’s northern shore. A technical assistance agreement for financing the study was signed on August 14 by Azamat Sakiev, General Director of Kyrgyz Temir Jolu, and Iaroslav Mandron, Vice Chairman of the EDB Management Board. According to the EDB, the Balykchy-Cholpon-Ata project aims to boost both tourism and freight connectivity in the Issyk-Kul region, linking its resorts to the railway networks of Kazakhstan and Uzbekistan. It is also expected to support mineral resource development and expand freight operations by creating more reliable logistics routes. The preliminary feasibility study will compare technical and economic options, determine the optimal construction approach, develop a high-level financial and economic model, and provide recommendations for implementation and financing. “The new Balykchy-Cholpon-Ata railway section is crucial not only for strengthening Kyrgyzstan’s domestic transport system but also for advancing international logistics,” said Mandron. “The project will integrate with Tamchy Airport, about 40 km from Cholpon-Ata, helping increase both tourist and cargo traffic. The feasibility study is a strategic step that will allow the parties to move from intentions to concrete implementation mechanisms for a project estimated at around $500 million.”

Railways

Turkmenistan and Iran to Build Dual-Gauge Rail Lines at Sarakhs Border Crossing

Turkmenistan and Iran have agreed to construct two new railway lines at the Sarakhs border crossing to enhance freight transport between the two countries, Iranian Railways chief Jabbar Ali Zakeri announced following talks with Turkmenistan’s Minister of Railways, Mammet Akmammedov. The agreement was reached during bilateral meetings in Turkmenbashi, held on the sidelines of the Third UN Conference on Landlocked Developing Countries, Iran’s Ministry of Roads and Urban Development reported on August 12, according to Biznes Turkmenistan. Zakeri stated that the project will include the construction of one standard-gauge and one broad-gauge line connecting the Sarakhs stations on both sides of the border. He emphasized the significance of expanding rail infrastructure to improve regional connectivity and noted that technical discussions between the two countries’ rail administrations would follow shortly. The Sarakhs crossing is a critical transit hub linking Iran to Central Asia and forms part of the International North-South Transport Corridor, aimed at facilitating trade between Asia and Europe. This initiative aligns with Turkmenistan’s broader strategy to diversify its export routes. Despite possessing the world’s fourth-largest natural gas reserves, the country has long struggled to access stable foreign markets. In October 2024, Ashgabat signed a landmark deal to supply 10 billion cubic meters of gas annually to Iraq, its first major export agreement in nearly two decades. While Turkmenistan maintains two gas pipelines to Iran with a combined capacity of 20 billion cubic meters, exports have been minimal since 2017 due to ongoing payment disputes.

Middle Corridor

KTZ Secures $540 Million Loan to Upgrade Trans-Kazakhstan Railway Corridor

Kazakhstan Temir Zholy (KTZ), the national railway operator, has secured a syndicated loan of up to 480 million Swiss francs (approximately $540 million) for a three-year term. Arranged through Abu Dhabi Commercial Bank and Deutsche Bank, the financing will support key infrastructure projects along the Trans-Kazakhstan Railway Corridor. According to KTZ, the loan will fund construction of the Moiynty-Kyzylzhar section, upgrades to congested segments of the national rail network, and the refinancing of existing debt. The Trans-Kazakhstan Railway Corridor is central to Kazakhstan’s strategy to solidify its role as a major overland transit hub connecting China and Europe. Infrastructure improvements are expected to reduce delivery times, lower logistics costs, create jobs, and diversify international trade routes, enhancing both the resilience of Kazakhstan’s economy and the competitiveness of its transport sector. Currently, more than 80% of overland freight from China to Europe passes through Kazakhstan via the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor. This route circumvents Russia and connects China to Europe through Central Asia and the Caspian Sea. In 2024, freight volumes along the TITR surged by 60%, reaching 4.5 million tons. Kazakhstan aims to more than double that volume to 10 million tons by 2030, as part of its broader ambition to expand its footprint in global supply chains.