Iran and Russia agree to build a rail link that will compete with the Suez Canal.


On August 23, 2020, Russia and Iran signed an agreement to build a railway corridor that would link the two countries and provide an alternate route for trade and travel compared to the Suez Canal. The agreement was signed by the two countries’ rail companies, Russian Railways and Iran’s Railways.

The proposed railway corridor will include the construction of two railway lines, one from the Russian city of Astrakhan to Iran’s port of Bandar Abbas, and another from the Iranian city of Bandar-e Anzali to the Russian city of Astrakhan. The two lines will be linked by a bridge over the Caspian Sea, making it the first rail link between Russia and Iran.

The railway corridor is expected to reduce the time it takes to transport goods between Russia and Iran, providing a more convenient and cost-effective option compared to the Suez Canal. The agreement is part of an effort to boost economic ties between the two countries and expand trade opportunities. of Bandar Abbas in southern Iran, to Russia’s Caspian port of Astrakhan. The countries are also planning to build a bridge across the Caspian Sea, which would connect the two ports and create an even more efficient route. The corridor could potentially become an important trade route between Europe and Asia, benefitting both countries in the process.