US President Donald Trump secured $12 billion worth of deals with Uzbekistan and Kazakhstan on Tuesday. Trump is inking trade deals with the two countries, which include supplying aircraft and rail to deepen economic ties. The White House is strategically signing deals with the Central Asian region and competing with China.
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US Inks $12 Billion Worth of Deals With Uzbekistan and Kazakhstan
Uzbekistan has agreed to purchase up to 22 Boeing aircraft from Boeing, the company announced. The State-owned Uzbekistan Airlines will purchase 14 Boeing aircraft and is leaving the option open to buy another eight. The total value of the deal stands at $8 billion. “We will continue to work together on many more items!” Trump said in a Trust Social post.
On the other hand, Kazakhstan signed an agreement with the US to buy 300 locomotives and other important rail equipment. Pennsylvania-based Wabtec Corporation will deliver the locomotives and is worth $4.2 billion. The US Commerce Department described the contract as the “largest rail deal in US history.”
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“This landmark deal advances US manufacturing jobs and accelerates growth, opportunity, and connectivity in America and Central Asia,” Commerce Secretary Howard Lutnick said during the signing ceremony in New York. Kazakhstan’s President Qasym-Zhomart Toqaev was in New York to discuss the trade deal with the US counterpart.
Trump is seeking to make the US a strategic partner in the Central Asian region and diminish China’s power. He is aiming to strengthen trade and investment ties and is looking to secure supplies of critical minerals. Both Uzbekistan and Kazakhstan are resource-rich in Central Asia, including rare earth supplies. However, China still dominates the rare earth supply chain and controls the output and exports. Speculations are rife that the White House could initiate many more trade deals with the two Central Asian nations.
