U.S. and Kazakhstan strike historical $4.2 billion locomotive deal

The United States and Kazakhstan have agreed a locomotive deal worth up to $4.2 billion that will see Wabtec Corporation supply 300 locomotives, U.S. Commerce Secretary Howard Lutnick announced on Monday.

Lutnick said the historic agreement followed a call between President Donald Trump and Kazakh President Kassym-Jomart Tokayev.

Writing on X, he added that the locomotives would boost connectivity across Europe and Asia through the Middle Corridor, with American technology at the core.

"While our rail industry faces unfair attacks from the nonsensical rush toward electric-only policies, this deal delivers strong support for one of our most significant industries. 

This $4 Billion deal is more than just a huge success story. It’s about American innovation leading the world, supporting thousands of jobs in TX & PA, & strengthening the U.S.–Kazakhstan partnership." he wrote in the post.

The deal comes against a backdrop of trade tensions as Kazakhstan, which borders Russia and China, has been hit with a 25% tariff rate by Trump.

In July, Tokayev notified President Trump in a letter that his government was ready for constructive dialogue on trade.

The commerce Secretary added that "This is President Trump’s America First trade policy in action: landmark exports, new markets, & U.S. workers winning big!". 

Kazakhstan continues active cooperation with the U.S. as latest figures show that in 2024, trade turnover between the countries amounted to $4.2 billion, an increase of 4% from the previous year.

The main export items from Kazakhstan to the U.S. include crude oil, more than 56%, uranium, about 16%, silver, 12%, iron alloys, 9.5%, and tantalum and tantalum products.

It is worth noting that on 7 September, former U.S. President Donald Trump indicated the possibility of visiting Kazakhstan, emphasising the positive nature of his communication with Kassym-Jomart Tokayev.

Copied