No.382issue(2012.07.20) |
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China to Europe rail freight joint venture establishedINTERNATIONAL: Transport Holding of Chongqing, China Railway Company for International Multimodal Transport, RZD Logistics, Schenker China and Kaztransservice have established the YuXinOu (Chongqing) Logistics joint venture to manage rail freight services between China and Europe. Operations will begin with container traffic between Chongqing and Duisburg. The joint expects to carry 5800 TEU by the end of 2012, with potential clients seen as companies from the electronics, machinery, chemical and aviation sectors in the Chongqing region.
Major high-speed railway opens in C ChinaYICHANG - The Hanyi Railway, a section of a major high-speed rail corridor between the eastern metropolis of Shanghai and Southwest China's city of Chengdu, opened on Sunday. The 293-km Hanyi Railway links Wuhan and Yichang, two large cities in Central China's Hubei province. The railway will reduce travel time between the cities to one hour and 39 minutes, said Yang Tao, an official with the Wuhan railway bureau. The Hanyi Railway is part of the Shanghai-Wuhan-Chengdu Railway, or Huhanrong Railway, a major east-west high-speed rail corridor outlined in China's national high-speed railway development plan. The 2,078-km railway will travel through four provinces and two municipalities, connecting the cities of Shanghai, Nanjing, Hefei, Wuhan, Chongqing and Chengdu. Most sections of the Huhanrong Railway are in operation, with construction on the last section slated to be completed in 2013.
Hangzhou Metro Line 1 PPP contract signedCHINA: The National Development & Reform Commission has approved a public-private partnership contract covering the supply of electrical and mechanical systems and the operation of Hangzhou Metro Line 1. The first of eight planned metro lines in the city is under construction for opening later this year, with 31 stations on a 48 km north-south route, 41 km of which will be underground. Hangzhou Metro Group is responsible for civil works on the 22bn yuan project. MTR Corp announced on July 17 that its subsidiary MTR Hangzhou Line 1 Investment Co Ltd had signed a contract with Hangzhou Metro Group to set up a 49:51 joint venture which will invest 8?3bn yuan in the E&M systems and operate the line for 25 years. The framework for the deal had been agreed in January 2009. 'This is an exciting time for MTR as we expand our investment and operations into our third Mainland city, Hangzhou, which will add to and complement the metro lines which MTR already operates in Beijing and Shenzhen', said Jay Walder, CEO of MTR Corp.
CSR to build $126m rail center in MalaysiaKUALA LUMPUR -- China's leading railways manufacturer, China South Locomotive and Rolling Stock Corporation Ltd, unveiled a plan Wednesday to set up its ASEAN manufacturing center in Malaysia, citing great market potential in the region as well as the close China-Malaysia relations. CSR Zhuzhou Electric Locomotive Co Ltd, a subsidiary under CSR and an active player in Malaysia's mass transit projects, announced the plan of the 50-acre facilities located in Batu Gajah of the Perak State, some 200 kilometers from the capital of Kuala Lumpur. The company is investing up to 400 million ringgit ($126.7 million) in the "CSR ASEAN Rail Center", which would cover all-in-one scope of work of production, assembly, testing, overhaul and refurbishment, said Luo Chongfu, the company' s Vice President of Investment and Strategic Development. "We are expecting to generate more than 800 jobs for Malaysians," he said. "More importantly, it will substantially enhance Malaysian railway technology, know-how and expertise, maximize its localization degree and enrich the human resource pool," he added. Fu Chengjun, another senior executive of the company, said the new plant is one of the most important to be set up by CSR outside of China. The first phase of the project is expected to be completed by the end of 2014, with the annual capacity of the production of 100 to 150 carriages and the overhaul of around 150. CSR ZELC has won bid for 20 sets of light rail vehicles for Malaysia's AMPANG Line Extension Project earlier this year, and the cars will be among the first to be manufactured by the new plant. Its EMUs, or modern rail transport vehicles, has been operated in Kuala Lumpur since March. Meanwhile, the company has decided to set up its regional headquarters in Kuala Lumpur. Luo has cited the close bilateral relations between China and Malaysia, geographical advantage as the factors why his company had chosen Malaysia to set up its ASEAN manufacturing center and regional headquarters. Luo predicted that ASEAN countries would need 1,100 new cars and refurbishment service for another 700 in the next five years, and the new plant in Malaysia would provide advantage for the company to tap into the market. CSR, based in Beijing and listed on Hong Kong as well as Shanghai Stock Exchange Markets, has been developed into one of the major players in global railway transport industry and is one of the biggest by global sales revenue.
Nigeria: FG Signs U.S.$1.49 Billion Rail Contract With ChinaThe Federal Government disclosed that it had signed a $1.49 billion contract with China for the construction of the Lagos-Ibadan Standard Gauge Rail Double Track. The rail line with Double Formation under Addendum No. 2 (2nd segment) is for the modernisation of the Lagos-Kano railway project. It also approved other contracts covering the transport, power and the Federal Capital Territory (FCT). Briefing journalists in company of his colleagues after the Federal Executive Council (FEC) meeting in Abuja, the Minister of the Federal Capital Territory, Bala Mohammed, Trade and Investment, Olusegun Aganga, Transport, Idris Umar, Power, Bart Nnaji, and Urban and Housing Development, Ama Pepple, the Minister of Information, Labaran Maku, said council approved contracts including the implementation of Addendum No. 2 (2nd segment: Lagos-Ibadan to the main contract for the railway modernisation project (Phase 1; Lagos-Kano). Messrs China Civil Engineering Construction Company Nig Ltd which clinched the job, is expected to complete the project in 36 months. The variation of the scope of work for the contract for design and construction of Abuja Rail Mass Transit Project (Lots 1&3) from the initial work span of 60.67km to 45.245km (Lots 1A &3) upped the amount payable from $841,645,898.00 to $823,540,545.87 payable at the prevailing exchange rate inclusive of 5 per cent VAT and 5 per cent variation on prices. "The contract is in favour of Messrs China Civil Engineering and Construction Corporation (CCECC), with a completion period of 36 months", Maku said. On power: Council, in line with accepted best practices in the operation and maintenance of hydropower plants, approved the supply and installation of parts for the 2 x 140MW units 411G3 Generators at Shiroro Hydroelectric Plc, in favour of Messrs AsNDRITZ Hydro GmbH, in the sum of €2,075,754.00. This is in addition to the N13,326340.68 to be retained by Shiroro Hydroelectric Plc to cover one per cent CISS fees and two per cent Port and Handling charges, with a completion period of eight months. Council also approved the restoration of four Plant units and balance of plant at Omotosho Power Plc in favour of China Machinery and Engineering Corporation in the sum of USD 10,092,771.15 payable at the prevailing exchange rate at the time of payment, plus N78,753,893.30 for 5 per cent VAT with a completion period of 6 months. On investment, Aganga said Nigeria has improved in the FDI attraction index to 23rd position making it a first quarter country for FDI attractiveness. Nigeria is ranked first in the top five host economies for FDI in Africa at $8.91 billion in 2011 in comparision to $6.09billion in 2010, followed by South Africa with $5.9 billion in 2011 and Ghana with $3.2 billion. Nigeria accounted for over one-sixth of flows into Africa as a whole. Only Nigeria, South Africa and Ghana attracted FDI inflows above $3 billion in 2011. Meanwhile, Nigeria makes the final list of Common Wealth Association of Public Admnistration and Management (CAPAM). It is the first time Nigeria is partiparting in the international innovations award. The Ministry of Health made a summation on their midwives services scheme. The scheme is meant to address one of the goals of the MDGs that has to do with the reduction of maternal and infant mortality. It is a federal government programme by the ministry of health that employs qualified midwives, some of them retired and newly qualified ones. "So far they have employed 4000 midwives and they are meant to work only in the primary health care centers. They are deployed to states and federal government pays their salaries while the states provide accommodation and transportation to enable them do their work. So far the 4000 midwives have been sent to 1000 primary healthcare centers across the country. Ministry of health submitted this scheme for the innovation award, there were 111 submissions from nine countries, we made it to the semi final of 40 submissions and now the scheme is among the twelve finalists who will make a presentation at his yeas biannual in India. "The Minister of Health has assured that they will work hard to ensure that they win the award. It is the first time we tried and we are among the finalists", says Pepple who has been representing Nigeria on the board of CAPAM since her days as the Head of Service of the Federation. Wowjoint Holdings Limited Entered into Three New ContractsBEIJING, July 19, 2012 China's innovative infrastructure solutions provider of customized heavy duty lifting and carrying machinery, today announced that it has entered into three contracts for projects and services in China. Wowjoint entered into a contract with Zhejiang Xiangshan Fishing Trade Development Co., Ltd. for the sale of a 25 ton marine hoist. This hoist will be used for lifting smaller boats and is an extension of the yacht market that Wowjoint entered last year. The contract value is approximately $250,000 (RMB 1,600,000). In addition, the Company entered into a leasing contract with No.1 Engineering Co., Ltd. of China Railway 25th Bureau Group. This leasing contract is to provide a 900-ton special launching carrier, Wowjoint's proprietary product. The term of the lease is 10 months, beginning on August 1, 2012. The total payable by the customer under this contract is approximately $930,000 (RMB 5,900,000). Wowjoint also entered into a service contract with 2nd Bureau of China Railway Co. Ltd., who commissioned Wowjoint to lift 37 rail bridge sections using one of Wowjoint's 900-ton special launching carriers. Service will commence on August 15, 2012. The total value of the contract is approximately $850,000 (RMB 5,400,000). "We're very pleased with our recent orders from China," stated Mr. Yabin Liu, Chief Executive Officer of Wowjoint. "These new contracts, in addition to the recent contracts we entered with customers from Malaysia and Peru, demonstrate Wowjoint's continued pursuit of diversifying its revenue stream. We are pleased to see an improvement in the domestic Chinese market and we will continue to explore new markets to attain new contracts. We believe our world-class products and services, strong client relationships and our ability to provide unique solutions to our customers will help Wowjoint to continue to make considerable progress in the international markets, as well as in China."
Investment pledge sends rail stocks up The Shanghai and Shenzhen stock markets registered slight increases Tuesday mainly due to strong gains in banking and real estate stocks. The Shanghai Composite Index edged up 13.23 points, or 0.62 percent, to close at 2,161.19; while the Shenzhen Component Index advanced 19.14 points, or 0.20 percent, to end at 9,560.03. Both indices opened lower Tuesday due to overnight contractions in US and European markets. The Shanghai Composite Index declined to an intra-day low of 2,141.48 point mark in the morning session. An afternoon rally in the heavily weighted securities, real estate, banking, automobile, cement and coal sectors helped the index finish the day in positive territory. The Anhui Development and Reform Commission disclosed that the Ministry of Railways would invest 37 billion yuan ($5.81 billion) more in railway infrastructure construction this year in order to boost the rail industry, according to a report by the National Business Daily Tuesday. This news helped Shanghai-listed China Railway Group tack on 2.34 percent to 2.62 yuan. China Railway Construction advanced 3.10 percent to 4.65 yuan. The first RMB qualified foreign institutional investor (RQFII) A-share exchange traded fund (ETF), the ChinaAMC CSI 300 Index ETF, started trading at the Hong Kong stock exchange Tuesday, and could inject nearly 5 billion yuan into the domestic markets, according to the Shanghai Securities News Tuesday. Positive reports about the ETF and hopes that the government would soon roll out favorable policies to spur economic growth helped lift market sentiment Tuesday, say analysts.
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Railway investment slumps by 100b yuanFixed-asset investment in China's railway sector fell 36.1 percent year-on-year to 177.75 billion yuan ($278.68 billion) in the first half of this year, 100.37 billion yuan less than the same period in 2011, according to the Ministry of Railways. Investment in railway infrastructure amounted to 148.71 billion yuan, down by 38.6 percent year-on-year. The data suggests that fixed asset investment and infrastructure investment continued a declining trend as of June 2011, Securities Daily reported. However, fixed-asset investment hit 48.1 billion yuan in June 2012, a new high for the year. Investment in infrastructure reached 43.23 billion yuan also in June, another new high.
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China Ministry: January-June Railway Investment Falls 36.1% On YearBEIJING--Fixed-asset investment in China's railways in the January-June period fell 36.1% compared with a year earlier, the Ministry of Railways said. The level of fixed-asset investment in Chinese railways fell to 177.75 billion yuan ($28.1 billion) during the period, the ministry said in a statement on its website dated Friday. Investment in rail infrastructure, a subset of fixed assets, fell 38.6% on year to CNY148.7 billion, the ministry said. The ministry didn't provide reasons for the sharp decline. Construction of railways has slowed sharply since mid-2011 after a train crash last July that killed 40 people.
Loveland's DataTraks sells 82 rail-safety systems to ChinaDataTraks, a small company that develops and maintains products for railroads, announced Thursday an order from China for 82 of its SafeTraks systems. The roughly $30,000 contract with China "is not totally huge," said DataTraks president and founder James Bilodeau, "but it's bigger than we've gotten before." He said the order is a "baby step" toward supplying the huge market that China represents. DataTraks employs half a dozen programmers and engineers in its downtown Loveland location. Bilodeau founded the company in 1998 and moved it to Loveland in 2005. The SafeTraks system developed by DataTraks measures the temperature of continuously welded train tracks. If a stretch of continuous track gets too hot and expands too much, it can buckle, causing a costly derailment. The systems in the new order will be installed across China, including 12 for a line in Beijing. Bilodeau said small orders will continue to be assembled at the Loveland location, but a contract for more than 1,000 SafeTraks devices would require the company to outsource its manufacturing - most likely to China, the location of its main customers. |
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