On March 31, the government of Bangladesh approved a deal to procure 100,000 tonnes of refined diesel from Kazakhstan, as reported by The Business Standard.

Bangladesh is also seeking waivers from the United States to import Russian oil, given the energy crunch the war in Iran – and the effective closure of the Strait of Hormuz – has touched off in the country. Bangladesh relies on imports for some 95 percent of its energy needs and holds relatively small reserves of crude oil and diesel, estimated as being enough to sustain the country for as little as two weeks.

Kazakhstan is Central Asia’s largest economy, and it’s a major oil and gas producer. At present, Kazakhstan’s output is around 1.7 million barrels of crude oil per day. 

Bangladesh is not a usual customer for Kazakhstan, illustrating the opportunities the war in the Middle East may generate for the Central Asian region. Central Asia’s landlocked status has long been viewed as a challenge in accessing global markets, but under the present circumstances, that distance from the sea looks less like a problem and more like a cushion. 

As Alberto Frigerio wrote earlier this week in an article for The Diplomat:

While the immediate effect of the war has been an increase in oil prices, the more important shift lies in how energy security is perceived. The disruption of Gulf exports has highlighted the vulnerability of supply chains concentrated in a single region. As a result, energy importers are placing greater emphasis on diversification – not only of suppliers, but also of transport routes.

In this context, Kazakhstan gains strategic relevance… While it cannot replace Middle Eastern oil production, it offers a relatively stable and geographically diversified source of energy outside the Gulf. In an environment where around one-fifth of global oil supply is exposed to disruption in the Strait of Hormuz, Kazakhstan’s role becomes more strategically valuable as part of a broader risk mitigation strategy, particularly for Asian economies seeking to diversify both suppliers and transport routes. 

According to data compiled by the Observatory of Economic Complexity (OEC), in 2024 the vast majority of Kazakhstan’s exports to Bangladesh – $6.58 million out of $6.59 million – was asbestos. 

According to the The Business Standard Bangladesh aims to purchase 100,000 tonnes of refined diesel from Kazakhstan at a “competitive” rate of $76.41 per barrel. A senior energy official told The Business Standard that the U.S. government “responded positively to the proposal by Bangladesh to purchase oil from Kazakhstan.”

The Business Standard’s report noted that Bangladeshi officials stressed that not all approved agreements materialize.

There may be one snag on Kazakhstan’s end. In November 2025, Astana extended restrictions on exports of petroleum products – including jet fuel, diesel fuel, and other products – until May 30, 2026.

“A ban for a period of six months from November 20, 2025, to May 20, 2026, is introduced on exports of gasoline, diesel fuel and certain types of petroleum products by road transport and of petroleum products by rail transport from Kazakhstan, including to the states of the Eurasian Economic Union [EAEU],” the relevant order read.

Kazakhstan has banned the road and rail export of gasoline and other petroleum products regularly since 2021. The country is a massive exporter of oil and gas by pipeline, but remains concerned about maintaining adequate domestic fuel supplies.

Arguably, Astana will make an exception – and perhaps more than one – in order to capture this unique moment in the global energy market.