Škoda Transportation signed a contract with the Chinese company CSR Quingdao Sifang Co. Ltd., to grant a technology license for the production of ForCity (15T) low-floor trams for China. In the contract Skoda Transportation provides 10-year license to produce up to 400 tram cars. The total contract value could reach up to 5 billion CZK.
“China currently has a sophisticated plan for investment in the public transport sector. Therefore, the local market is very interesting for us. But it is also necessary to keep in mind that the market is highly competitive, where all multinational global companies take part. And that is why, I see the contract conclusion as confirmation that our company is able to offer top quality products which can succeed in competition among world manufacturers,” says Tomáš Krsek, chairman of Škoda Transportation.
Tram ForCity is a modern, low-floor vehicle that meets the latest safety and technological standards. The unique pivoting bogie has fully individually driven wheels enabling a perfect ride on both straight track and curves. It has low maintenance costs. Currently the tram car For City operates in Prague, Czech Republic and in Riga, Latvia. “The Chinese market is very demanding. Company which can succeed there must be technologically highly developed. Our company is able to compete there with big global players only because we invested huge sums in our research and development every year. As an indication, just in the past three years the amount surpassed over 3 billion CZK,” said Krsek.
In China there are more than 160 cities with over one million inhabitants. The rail vehicles should form the backbone of public transport system. “China is currently the most dynamically developing market where no foreign company can succeed without support of domestic company. The fact that we have closed the contract with a strong partner, the Chinese company CSR Sifang, may mean that other trade possibilities open up to us in this country as well,” says Petr Vízdal, Director of Business Development at Škoda Transportation.
CSR Quingdao Sifang Co. Ltd. (“CSR Sifang”), a core subsidiary of CSR Corporation Limited, is China’s industrialization base for high-speed trains, urban rail transit vehicles, metro vehicles and rail transit equipment. Company is supported by its 1 340 000 m2 modern, professional and massive manufacturing base with superior equipment and advanced processing technologies. CSR Sifang is taking leading role in the R&D of high-speed EMUs in the rail transit industry. New generation of high-speed EMU developed and manufactured by CSR Sifang has created a speed record..
“The contract with CSR Sifang is the result of a long-term focus of the company Škoda Transportation strategy on foreign markets. Recently, the Group Škoda Transportation closed a few significant export contracts in major growing markets, with great additional future for Skoda Transportation,” said Zal Shahbaz, Sr.Vice President of Sales at Škoda Transportation. We can mention the last supply of 60 trams for the Turkish city of Konya. Another important contract was signed with General Electric to supply 660 pieces of complete electric drive units for 110 locomotives for Kazakhstan State Railways. In 2012, Škoda Transportation signed a contract for 9 six-car metro trains for St. Petersburg, Russia worth about 2 billion CZK. Further, the contract for 31 trams for the Hungarian city of Miskolc worth two billion CZK or propulsion systems for 23 metro units in the Chinese city of Suzhou worth 0.5 billion CZK.
Source & Photo : Skoda Railway