By Bhargav Acharya (Reuters) -Locomotive parts maker Wabtec has reached a $4.2 billion agreement with Kazakhstan under which the Pennsylvania-headquartered company will provide the central Asian country with 300 locomotives, the U.S. Department of Commerce said on Monday. The deal will give Kazakhstan’s national railway company Kazakhstan Temir Zholy (KTZ) 300 “evolution Series ES44Aci heavy-haul […]
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Wabtec and Kazakhstan reach $4.2 billion locomotive deal, US Commerce Department says
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By Bhargav Acharya
(Reuters) -Locomotive parts maker Wabtec has reached a $4.2 billion agreement with Kazakhstan under which the Pennsylvania-headquartered company will provide the central Asian country with 300 locomotives, the U.S. Department of Commerce said on Monday.
The deal will give Kazakhstan’s national railway company Kazakhstan Temir Zholy (KTZ) 300 “evolution Series ES44Aci heavy-haul locomotive kits over the next decade,” the department said in a statement.
It is expected to support 11,000 U.S. jobs, it said.
The agreement was made after a call between President Donald Trump and Kazakh President Kassym-Jomart Tokayev, Commerce Secretary Howard Lutnick said in a post on X.
“This landmark deal advances U.S. manufacturing jobs and accelerates growth, opportunity, and connectivity in America and Central Asia,” Lutnick said.
Wabtec shares were up 4.7% after the announcement.
Kazakhstan, which borders Russia and China, has seen its U.S.-bound exports slapped with a 25% tariff rate by Trump. Tokayev wrote in a letter to Trump in July that he was prepared for constructive dialogue on trade issues.
(Reporting by Bhargav Acharya in Toronto; editing by Rami Ayyub)