US President Donald Trump secured a deal worth $12 billion with Uzbekistan and Kazakhstan on Tuesday. Trump has invested in trade agreements with both countries, including the supply of aircraft and rail to deepen economic ties. The White House has strategically signed the Central Asian region and is competing with China.
US Inc. trades with Uzbekistan and Kazakhstan worth $12 billion
Uzbekistan has agreed to purchase up to 22 Boeing aircraft from Boeing, the company announced. State-owned Uzbekistan Airlines will purchase 14 Boeing aircraft, open options and buy eight more. The total transaction amounts to $8 billion. “We will continue to work together on more items!” Trump said on the Trust Social Post.
Meanwhile, Kazakhstan has signed an agreement with the US to purchase 300 locomotives and other important railway equipment. Pennsylvania-based Wabtec Corporation offers locomotives and is worth $4.2 billion. The US Department of Commerce explained the contract as follows: “The largest railway contract in US history.”
“This groundbreaking deal will drive US manufacturing work and accelerate growth, opportunities and connectivity in the US and Central Asia.” Commerce Secretary Howard Lutnick said at a signing ceremony in New York. Kazakhstan President Qasym-Zhomart Toqaev was in New York to discuss a trade contract with the United States.
Trump is trying to make the United States a strategic partner in the Central Asia region and reduce China’s power. He aims to strengthen trade and investment ties and is looking to secure supply of critical minerals. Both Uzbekistan and Kazakhstan are rich in resources in Central Asia, including rare earth supplies. However, China still controls the rare earth supply chain, controlling production and exports. Speculation is widespread that the White House can launch more trade deals with the two Central Asian countries.
