Kazakhstan has signed a contract with the American company Wabtec to purchase 300 locomotives for $4.2 billion. The authorities describe this as a “breakthrough” in relations with the United States and a step toward strengthening the Middle Corridor.
But a simple calculation shows that the price — $14 million per locomotive — is four times higher than before! Not long ago, Kazakhstan purchased the same locomotives for about $3.7 million each.
Does this deal serve political interests rather than economic logic?
Video – from the Elmedia Kazakhstan channel.
