Kazakhstan deepens trade, transit links through Iran
For Kazakhstan, one of the world’s largest landlocked countries, access to secure and efficient transit routes to southern ports is strategically important. Iran has long been a key link between Central Asia and the Persian Gulf and Indian Ocean, and in recent years Kazakhstan has moved beyond simply using Iranian transit routes to pursuing dedicated infrastructure and a longer-term port presence.
Rail links anchor southern trade
Transit and logistics cooperation between Kazakhstan and Iran has developed steadily since the formal opening in December 2014 of the Kazakhstan-Turkmenistan-Iran railway. The international rail link connected Kazakhstan’s railway network with Iran’s and provided an overland route to Persian Gulf ports.
The route has since become an important part of Kazakhstan’s trade links to southern markets. Official figures show that cargo transit through the International North-South Transport Corridor rose 12% in 2025 to 3.5 million metric tons. Direct rail traffic between Kazakhstan and Iran increased 69% over the same period.
The growth continued in 2026. In the first five months of the year, rail freight between Kazakhstan and Turkmenistan exceeded 1 million metric tons, up 46% from a year earlier. The China-Kazakhstan-Turkmenistan-Iran route has also expanded the reach of the broader transit network.
Kazakhstan has also taken steps to establish a dedicated logistics presence in Iran.
In June 2026, the two countries signed an agreement allowing Kazakhstan to build a dedicated transit and logistics terminal at Shahid Rajaee port near Bandar Abbas in southern Hormozgan Province.
The project will be developed under a build-operate-transfer (BOT) model. A 15-hectare site has been allocated for the terminal, with the contract covering 27 years, including two years of construction and 25 years of operation by Kazakh companies. Commercial operations are expected to begin in the third year. The terminal will allow Kazakhstan to store, handle, process and distribute transit cargo for markets in the Middle East, South and Southeast Asia and East Africa. The arrangement does not constitute sovereign ownership of the port.
Caspian routes provide another option
Kazakhstan is also seeking to make greater use of the Caspian Sea. The proposed network would link the Kazakh ports of Aktau and Kuryk with Iran’s northern Caspian ports, including Amirabad and Anzali.
The multimodal route is particularly relevant to Kazakhstan’s agricultural exports, including grain and food products. Cargo could move across the Caspian to northern Iran before continuing toward southern ports such as Bandar Abbas.
Chabahar is another potential gateway. Kazakhstan’s participation in the development of the Iranian port remains at an earlier, study-stage phase than the Shahid Rajaee project. Located on Iran’s Gulf of Oman coast, outside the Strait of Hormuz, Chabahar provides direct access to the Indian Ocean.
The completion of the Chabahar-Zahedan railway project by mid-2026 has further advanced the port’s connection to Iran’s national rail network. Once fully connected, the route will provide Central Asian landlocked countries, including Kazakhstan, with another link to markets in India and the wider subcontinent.
Shahid Rajaee and Chabahar would thus provide complementary routes, linking Kazakhstan to the Persian Gulf and the Indian Ocean respectively.
Growing transit capacity
The expansion of transit cooperation comes as bilateral trade continues to grow. Official statistics show that trade between Kazakhstan and Iran rose 26.4% in 2025 to $430.2 million, although that remains below the $3 billion target set by the two countries.
Meeting that target will require further development of rail, customs and logistics infrastructure. The two sides have agreed to increase annual transit capacity on the eastern branch of the North-South corridor to 15 million metric tons by 2027 and 20 million metric tons by 2030.
Achieving those targets will require continued investment, preferential tariffs and shorter border-clearance times.
The expansion of rail links, Caspian routes and access to Iran’s southern ports reflects Kazakhstan’s efforts to diversify its trade routes and strengthen connections with markets beyond Central Asia.
This article first appeared in Persian on Tasnim.