Russia is helping build a 164km railway through Iran to its border with Azerbaijan on the Caspian shore. Once this is complete it will provide a sanctions-defying rail link
After decades of feasibility studies, a joint fear of isolation by Western powers is driving Russia and Iran to build a sanctions-proof corridor. Since the West tightened sanctions on Russia after it invaded Ukraine, the ostracised pair have opened a roundabout rail-link via Kazakhstan and Turkmenistan. Russia is upgrading its own ports with Iranian investment. An Iranian shipping company on the Caspian is boosting Iran’s fleet of freighters.
Annual Russian-Iranian trade has already leapt by 20% in a year to nearly $5bn, says Emil Avdaliani, a Georgian think-tanker. Russian pundits predict that trade with Iran could surpass that with Turkey, worth $30bn. Last month Russia supplied refined oils to Iran by rail, some of it for transporting onward. It recently shipped 12m tonnes of grain through Iran to India. Other projects include upgrading Russia’s canals between the Don and Volga rivers that link the Black Sea to the Caspian.
Russia once shied away from investing in Iranian infrastructure for fear of Western sanctions. But the war in Ukraine has made it cast such caution aside. It has encouraged Iran to send it military drones for hammering Ukraine. Last year Russia was Iran’s biggest foreign investor, far ahead of China.
This article appeared in the Middle East & Africa section of the print edition under the headline"A rail-and-sea passage to India"
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Zelensky accuses Russia of 6,000 war crimes in April aloneUkrainian leader Volodymyr Zelensky has demanded Russia answer for thousands of ‘crimes of aggression’. The Ukrainian leader has made a surprise visit to the ICC in the Hague, which has issued an arrest warrant for President Putin.
Read more »
Russia accuses US of being behind Kremlin drone attackBREAKING: Russia has decided to accuse the US of being behind the ‘drone attack’ on the Kremlin intended to assassinate Putin. A spokesperson made the allegation to state media - but failed to provide any evidence to support the claim.
Read more »
Ukraine denies Kremlin assault as Russia launches drone attacks\n\t\t\tKeep abreast of significant corporate, financial and political developments around the world.\n\t\t\tStay informed and spot emerging risks and opportunities with independent global reporting, expert\n\t\t\tcommentary and analysis you can trust.\n\t\t
Read more »
Ukraine war latest: US 'definitely' behind Kremlin attack, Russia claims - as Zelenskyy demands justice after strikesSpeaking from a news conference in the Netherlands, Volodymyr Zelenskyy says he hopes Vladimir Putin can be brought to justice. Adding 'I'm sure we will see that happen when we win and we will win' Live updates: 📺 Sky 501, Virgin 602, Freeview 233
Read more »
Russia ex-president calls for Zelensky to be KILLED after Kremlin drone strikeTHE former president of Russia has called for Volodymr Zelensky to be killed after claiming Ukraine tried to assassinate Putin in a drone strike. Footage showed a flying object exploding in flames …
Read more »
Russia could take Bakhmut within weeksFor over ten months Russia has been trying to conquer Bakhmut. A surge in fighting suggests that Russia’s generals are desperately trying to deliver it to the Kremlin by Victory Day—whatever the cost
Read more »