Rail manufacturing giant Alstom has launched another joint venture in China to support the growth of its rail business in Hefei with a new factory in the city.
The company’s Hefei Alstom Rail Transport Equipment (HATEE) opened the traction systems factory in the city to build equipment for the Hefei Metro’s Line 8 after Alstom signed a cooperation agreement with the city in July 2023.
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The joint venture, with the Hefei Xinzhan High-tech Industrial Development Zone, is the second to be established by Alstom in the country after forming CRRC Puzhen Nanjing Alstom Transportation Systems (PATS) in 2014.
Ming Geng, managing director of Alstom China, said: “The market potential and favourable business environment has provided new opportunities for our development in China.
“HATEE, as the first local manufacturing base for traction systems in Hefei, will play an important role in Hefei’s rail transit industry chain. And it will support Hefei’s rail transit industry to enter the national and overseas markets.”
Once trial production begins at HATEE’s factory in October, it will take over the construction of traction systems for the metro’s upcoming autonomous Line 8 from Alstom’s existing joint venture Shanghai Alstom Transport Electrical Equipment (SATEE).
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By GlobalDataWhile much of China’s rail manufacturing is done by local companies, Alstom has managed to carve out a significant presence in the country and previously signed contracts for maintenance on the Shanghai Metro as part of its PATS joint venture.
Hefei is located close to the banks of the Yangtze, not far from Shanghai.
