Siemens Mobility Division will supply an advanced signalling and control system for the first metro line in the Chinese city of Chongqing.
The 36km metro has 23 stations and is expected to open in 2011.
Siemens will supply its Trainguard MT system as well as a radio system for continuous exchange of data between the line and the vehicle.
The company will carry out the work along with China Railway Signal & Communication.
The project is expected to allow trains to run at shorter headways and adjust operation more quickly to changing passenger volumes, increasing the availability of the overall system.