Bombardier Transportation has opened a new production facility and future South African headquarters at Isando in Johannesburg.
South African freight and logistics firm Transnet awarded on order in April 2014 to Bombardier to supply 240 electric locomotives as part of a ZAR50bn ($3.5bn) contract.
Go deeper with GlobalData
The new 6,000m² facility will produce Mitrac high-power propulsion equipment for use in Traxx Africa locomotives.
As part of the order from Transnet, the majority of the locomotives will be be built at Transnet’s plants in Koedoespoort, Pretoria, and Edwin Swales in Durban.
Transnet Group chief executive Siyabonga Gama said: "Bombardier’s production facility was an integral step in driving localisation, transformation and economic empowerment.
"The successful partnership with Bombardier serves a crucial purpose in enhancing and embedding our market demand strategy, and the role Transnet plays in growing our economy."
It is reported that high-power traction converters and electrical cubicles will be tested at the new Islando facility, which will become Bombardier’s South African headquarters from October.
Bombardier Transportation Western Europe, Middle East and Africa president Per Allmer said: "We are proud to play such a large role in the development of the country’s mobility evolution and transformation.”
The company said that as of this month, the new Isando facility has around 100 employees and this number is expected to increase to around 200 next year.
