Headlines from the Caspian: October 14, 2025
Recent Articles
Author: Caspian Policy Center
10/14/2025
Energy and Economy
Chinese EV Retailer Opens First Retail Center in Uzbekistan
On October 14, the EV company Li Auto opened in Tashkent, establishing its first overseas retail center. The company plans primarily to sell extended-range electric vehicles. In November, Li Auto will also open stores in Kazakhstan’s two largest cities: Almaty and Astana.
Source: EV
EU Funding for Kyrgyz Republic Hydropower Project
Following last week’s European Union Global Gateway forum, the European Investment Bank and the European Bank for Reconstruction and Development, agreed to provide the Kyrgyz Republic $500 million each for the construction of the Kambar-Ata-1 hydropower plant. The Kyrgyz Energy Ministry’s press service stated the the EU signed an agreement with the Kyrgyz Republic, Kazakhstan, and Uzbekistan to finance the $2.4 billion hydropower project, $1 billion of which is the Kyrgyz Republic’s share.
Source: The Astana Times
Uzbekistani Airport Project Receives $1 Billion Japanese Investment
The Sojitz Corporation of Japan expects to break ground on a new international airport in Tashkent by the end of the year. Predicting that this project will be completed by 2028, the $1 billion project will establish the largest aviation hub in the Central Asian region. The airport will have capacity to support up to 20 million passengers annually and will allow for more than 40 take-offs and landings per hour.
Source: Nikkei Asia, The Times of Central Asia
Gazprom and Kazakhstan Sign Memorandum on New Gas Pipeline
At the 14th St. Petersburg International Gas Forum (SPIGF), Russian state-owned energy company Gazprom’s Chairman Alexey Miller and Kazakhstan’s First Deputy Prime Minister Roman Sklyar signed a memorandum of understanding to build a new gas pipeline from Russia to Kazakhstan, with the proposed infrastructure designed to have an initial transport capacity of 10 billion cubic meters per year. The sides also signed a document outlining the long-term processing of Kazakhstan gas at the modernized Orenburg Gas Processing Plant in Russia. According to the framework agreement, this facility will handle gas from Kazakhstan's Karachaganak field.
Source: Interfax, Pipeline Technology Journal
Politics and Security
Adilet Kozhanbayev elected Mayor of Semey in Kazakhstan’s First Direct Election for City Mayor
On October 12, the city of Semey held Kazakhstan's first ever mayoral elections in an initial step towards President Kassym Jomart Tokayev’s goal to democratize public administration. Of the nearly 330,000 residents of Semey, more than 220,000 were eligible to vote in the election at 128 polling stations. For the first time, election materials were printed in Braille as part of broader efforts to make voting more accessible to people with disabilities. Semey authorities report high public engagement that indicates growing confidence in the new election system. Adilet Kozhanbayeva won the election with 77.1 percent of the vote, followed by Kanysh Toleuov with 10.8 percent and Aibolat Bekzhassarov with 8.4 percent. An additional 3.7 percent voted against all candidates.
Source: Astana Times, Qazinform
United Kingdom Lifts Arms Embargo on Armenia and Azerbaijan
The U.K.’s Minister of State Stephen Doughty said that London chose to lift the embargo due to progress in establishing peace between Azerbaijan and Armenia. Doughty added that the U.K. looks to establish a strategic partnership with the two Caucasus states and help promote regional stability against “hybrid threats.” The embargo was initially established by the Organization of Security and Cooperation in Europe (OSCE) in 1992, during the first Nagorno-Karabakh War.
Source: OC Media
Armenia and Azerbaijan at Middle East Peace Summit
On October 13, Prime Minister of Armenia Nikol Pashinyan and President of Azerbaijan Ilham Aliyev participated at the Middle East Peace Summit in Sharm El-Sheikh, Egypt. During the summit, United States President Donald Trump recognized the recent actions that Armenia and Azerbaijan had taken towards reconciliation and stated that he believed that Israel and Hamas could take similar strides.
Source: Caucasus Watch
Putin Visits Tajikistan for Central Asia-Russia Summit and Commonwealth of Independent States (CIS) Meeting
On October 8, Russian President Vladimir Putin arrived in Dushanbe for the Central Asia–Russia summit that brought together the leaders of all five Central Asian states. The summit addressed issues of trade, transport, energy, security, and migration. Putin urged Central Asian leaders to expand trade with Russia, noting that Russia’s trade with Belarus is higher despite Belarus having only a fraction of Central Asia’s combined population. Central Asian leaders emphasized the existing strength of trade between their countries and Russia and outlined plans for deeper cooperation. The CIS Heads of State Council Summit took place a few days later in Dushanbe, bringing together the leaders of the Central Asian states, Russia, Azerbaijan, Armenia, and Belarus. The council approved action plans to combat terrorism, strengthen security along external borders, and enhance military cooperation.
Source: The Times of Central Asia, Reuters, Executive Committee of CIS
Putin Admits Russian Air Defense Systems Responsible for Azerbaijani Jet Crash
On October 9, on the sidelines of the Commonwealth of Independent States (CIS) Heads of State Council Summit, President of Russia Vladimir Putin held a one-on-one meeting with President of Azerbaijan Ilham Aliyev. This was the two leaders’ first meeting since the tragic December 2024 incident involving the downing of an Azerbaijani passenger plane in Russian air space. During the meeting, Putin, for the first time since the crash, publicly admitted that Russia’s air defense systems were to blame for downing the Azerbaijani jetliner. Putin said that two Russian anti-air missiles had exploded about 10 meters from the plane during a Ukrainian drone attack on Grozny. “The Russian side will obviously do everything to provide compensation and give legal assessment to all responsible officials’ action,” he said. The crash strained relations between Moscow and Baku, with tensions escalating during the months that followed.