August 20, 2007 -- Chinese Ministry of Railways and CSR Zhuzhou Electric Locomotive CO., LTD recently signed an agreement for buying 1,200 high power 6-axle alternating current electric locomotives valued at 30 billion yuan (US$4 billion) from the latter. On the same occasion, both parties signed an official contract on buying 500 of the 1200 locomotives. Analysts said this largest-ever locomotive procurement serves to modernize China's railway system and will bring vigor to the domestic equipment manufacturing industry, esp. electromechanical, electric parts, iron & steel, wire & cable and chemical sectors.

The 6-shafts electric locomotive is innovated by ZELC with completely independent intellectual property rights and boasts a total power of 9600kW and single axle power of 1600kW. President of ZELC Li Zhixuan said this deal helps establish electric locomotive manufacturing clusters in central China to rejuvenate regional economy. Sources said the Ministry of Railways plans to invest 332 billion yuan of fixed assets investment including 50 billion yuan to purchase locomotives this year.

Source: Asia Pulse
Source: Factiva