(Yicai Global) Oct. 24 -- Three subsidiaries of state-owned locomotive giant CRRC Corp. [SHA:601766] will make USD4.65 billion (CNY30.8 billion) in purchases in areas such as magnetically levitated trains and new energy vehicles next year.
The 2017 China International Rail Transit Industrial Expo opened yesterday in Zhuzhou in Hunan province, where CRRC is based. The group revealed its procurement plans at the event. CRRC Zhuzhou Locomotive Co., a subsidiary of CRRC, will make CNY16.8 billion of purchases next year.
CRRC Zhuzhou Locomotive will focus on developing a new generation of eco-friendly and intelligent vehicles including maglev trains, trams and monorails, and it will improve information systems and the intelligence of vehicles, an officer at the subsidiary said.
The other two subsidiaries, a research institute and a locomotive company, will make CNY9 billion and CNY5 billion of purchases next year, respectively, covering rail transit, new energy vehicles and wind power supplies.
The locomotive company revealed that it signed an agreement with German electrics giant Siemens AG [NYSE:SI] for the procurement of a Malaysian light rail vehicle traction system, but it did not disclose the value of the project.