Chinese CRRC, Iran’s IDRO sign deal for building subway wagons

Business Materials 7 March 2018 16:32 (UTC +04:00)

Baku, Azerbaijan, March 7

By Gazenfer Hamidov – Trend:

Iran and China signed a deal on assembly production of 450 subway wagons for the Islamic Republic.

The contract was signed between the government-owned Industrial Development & Renovation Organization of Iran (IDRO) and CRRC Corporation, a Chinese publicly traded rolling stock manufacturer, in Tehran on March 7, IDRO said in a message.

Mansour Moazami, Iran’s deputy minister of Industry, Mine and Trade, said that the subway wagons will be used for Ahwaz, Shiraz and Tabriz cities.

The Chinese side will finance 85 percent of the project, Moazami, who heads the IDRO, said.

Under the contract, high quality aluminum wagons will be manufactured in Iran, the official said, adding that using Iran’s domestic manufacturing capabilities as well as transfer of technology and technical knowledge are among the basic conditions of the contract.

The wagons will be manufactured in Iran’s Wagon Pars Company will take part in the manufacturing of the subway cars.

The foreign party has expressed readiness to invest 25 million euro to equip and launch the production line in Wagon Pars, Moazami said.

Last year, CRRC inked a memorandum of understanding (MOU) with Iranian Railway Industry Company (IRICO) on the assembly production of 215 subway vehicles in Iran.

CRRC Nanjing Puzhen entered into agreement with Ministry of Interior of the Islamic Republic of Iran back in December of 2008 to supply 315 metro wagons and the company has already delivered the 100 metro vehicles manufactured in China to Iran.