Headlines from the Caspian: July 8, 2024
Author: Caspian Policy Center
07/08/2024
Energy and Economy
Iran to Act as Middleman for Turkmen Gas to Iraq
Turkmenistan’s efforts to diversify its gas buyers away from Russia strengthened with a new deal penned between Iran’s foreign ministry and Turkmenistan’s state gas producer, Turkmengaz. The deal solidifies Iran’s role as a swap agent in the existing Turkmen-Iraqi gas deal from last October. Iranian contractors will be allowed to build 125 kilometers of additional pipelines and three gas pumping stations in Turkmenistan to facilitate the export of the expected 10 billion cubic meters per annum of Turkmen gas to Iraq. As of now, there are no announced project timelines or identified contractors.
Source: Upstream News
Business Leaders of Kazakhstan and China sign Agreements Valued in the Billions
During the Kazakh-Chinese Business Council meeting on July 2, at least 500 representatives signed various economic agreements, including some on wind energy projects, construction, grain processing, and online commerce. China is Kazakhstan’s biggest partner in foreign trade. During the first quarter of 2024, trade turnover was valued at over $6 billion, and in 2023, total bilateral trade was valued at almost $32 billion.
Source: Astana Times
Kazakhstan to Shift Oil Production After Surpassing OPEC+ Quota
Kazakhstan’s energy minister pledged extra voluntary cuts in oil production to take effect by September 2025 due to exceeding its OPEC+ quota. The announcement was made on July 8, with the minister stating that a detailed plan had been prepared. Kazakhstan had raised oil production by 4% between May and June.
Source: Reuters
Tajikistan Hosts Japan Central Asia Business Dialogue
Japan’s Association for Trade with Russia & NIS (ROTOBO) held the 2nd Japan-Central Asia Business Dialogue in Tajikistan on July 4. The dialogue was attended by representatives of the Ministries of Foreign Affairs, Economy, Trade and Industry of Japan in addition to business representatives.
Source: Embassy of Republic of Tajikistan in Germany
Security and Politics
Informal Summit of the Heads of State of OTS Takes Place in Azerbaijan
On July 6, the Informal Summit of the Heads of States of the Organization of Turkic States (OTS) took place in Shusha, Azerbaijan, with the theme of “Building a Sustainable Future through Transport, Connectivity, and Climate Action.” The summit, hosted by President of Azerbaijan Ilham Aliyev, was attended by President of Kazakhstan Kassym-Jomart Tokayev, President of the Kyrgyz Republic Sadyr Japarov, President of Uzbekistan Shavkat Mirziyoyev, Vice President of Türkiye Cevdet Yılmaz, Prime Minister of Hungary Viktor Orbán, President of the Turkish Republic of Northern Cyprus Ersin Tatar, and Secretary General of the OTS Ambassador Kubanychbek Omuraliev. The sides signed several important documents, including the Karabakh Declaration, which highlight strategies for future regional cooperation.
Source: The Organization of Turkic States
United States to “Indefinitely Postpone” Annual Military Exercises with Georgia
According to a July 5 statement released by the U.S. Department of Defense, the United States has indefinitely postponed the upcoming Noble Partner military exercises, which were scheduled to take place from July 25 to August 6. The statement noted that due to Georgian officials’ increasingly anti-Western rhetoric, accusing the United States of attempting coups and pushing for an expansion of war in Russia, the UnitedStates is now conducting a “a full review of all bilateral cooperation with Georgia.”
Source: U.S. Department of Defense
SCO and UN Summit Results
The first week of July, Astana hosted two major political events – the Shanghai Cooperation Organization (SCO) summit and the visit by United Nations Secretary-General António Guterres. Throughout his tour of the five Central Asian nations, Secretary Guterres emphasized the opportunities afforded by Central Asia’s young population and the importance of youth engagement. He also discussed climate issues with the regional leaders, veering away more than expected from topics on human rights. At the same time, the SCO Summit produced some notable agreements. After accepting Belarus as the latest fully-fledged member, SCO leaders agreed on a security cooperation program that included efforts to combat extremism and drug trafficking.
Source: Times of Central Asia
Armenia and the United States to Hold Joint Military Exercises
Armenian defense forces will hold joint military drills with the United States July 15-24. The exercises are part of Exercise Eagle Partner 2024 aimed at improving “collective ability to conduct peacekeeping operations by performing gunnery and stability training, weapons familiarization, and range management.” This training will allow both countries to become familiar with the other’s equipment. The last military exercise between the United States and Armenia took place in September 2023.
Source: U.S. Army, U.S. News and World Report
Iranian Elections Deliver Win for Reformer
On June 6, Masoud Pezeshkian won a run-off election to secure Iran’s presidency. Pezeshkian, who is of an ethnic Azeri and Kurdish background, is viewed as a moderate and reformer in comparison to his opposing candidates and has proposed diplomatic outreach to the West and relaxed enforcement of his country’s mandatory female modesty laws.
Source: Associated Press
Xi Jinping Promises Support for Tajik Territorial Integrity
On July 5, President Xi Jinping formally made a promise to Tajik authorities to defend Tajikistan’s territorial integrity, in an effort to further good diplomatic relations with the country. This occurred during his visit to Dushanbe, following the SCO meeting in Astana. President Xi Jinping told Tajikistan President Emomali Rahmon that “China will continue to unswervingly promote friendly and mutually beneficial cooperation with Tajikistan,” and “firmly support Tajikistan's efforts to safeguard national independence, sovereignty, and territorial integrity.”
Source: RFE/RL
Four Central Asian States and Azerbaijan Begin Joint Military Exercise
On July 8, armed forces from Azerbaijan, Kazakhstan, Kyrgyzstan, Tajikistan, and Uzbekistan began joint military maneuvers on the shore of the Caspian Sea, according to the Kazakhstan Defense Ministry. The exercise is scheduled to last until July 17 and is reported to include 4,000 servicemen and about 700 weapons with a mix of ground, air, and sea forces.
Source: RFE/RL
EU Greenlights Military, De-mining Aid for Armenia and Azerbaijan
The European Union will deliver €10 million in non-lethal military aid to Armenia while also providing an unspecified, but likely comparable, amount of funding for Azerbaijan to assist with de-mining of reclaimed territory in Karabakh.
Kazakh Dissident Journalist Dies After Assassination Attempt in Kyiv
Two weeks after being shot near his home in Kyiv, journalist and political blogger Aidos Sadykov succumbed to his injuries from the assassination attempt. Sadykov and his family had been living in Ukraine for nearly 10 years, following a grant for political asylum. The journalist was known for his popular YouTube channel, Base, that focused his reporting on social and political issues in Kazakhstan, usually voicing critiques of the government. Two suspects have been identified, one of which is in custody in Kazakhstan.
Source: Reuters, EurasiaNet
Sources: AP, Astana Times, Reuters, RFE/RL, The Organization of Turkic States, OC Media, Times of Central Asia, U.S. Army, U.S., Department of State, U.S. News and World Report, Embassy of Republic of Tajikistan in Germany