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February 11, 2015

Bombardier and China’s New United Group to form new joint venture

Train manufacturer Bombardier and China's New United Group (NUG) have agreed to establish a new joint venture (JV) for signalling and rail control in China.

By Samseer M

Train manufacturer Bombardier and China’s New United Group (NUG) have agreed to establish a new joint venture (JV) for signalling and rail control in China.

Located in Changzhou near Shanghai, the new JV will be known as Bombardier NUG Signalling Solutions Company and both the firms will have a 50% share.

According to Bombardier, the new company will focus on rail transportation communications, signalling and integrated monitoring systems for the Chinese mass transit and light rail markets.

In addition, the firm will introduce moving-block signalling technology for metro applications.

"This new joint venture is one of our strategies to ensure our sustainable success in this huge but fiercely competitive market."

Bombardier China president and chief country representative Jianwei Zhang said: "Bombardier has been actively participating in the development of China’s rail transportation providing a broad range of products, systems and services, including rail signalling equipment.

"This new joint venture is one of our strategies to ensure our sustainable success in this huge but fiercely competitive market."

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In 2003, Bombardier and NUG collaborated for Bombardier CPC Propulsion System and the present JV will integrate the rail manufacturer’s mass transit experience and NUG’s extensive knowledge of the Chinese market, Bombardier stated.

Bombardier Transportation Rail Control Solutions president Peter Cedervall said: "Bombardier has a strong relationship in the pioneering Chinese rail control market.

"This latest partnership reflects our successful co-operation and technical reputation."

In November last year, Bombardier Transportation formed a JV with Chinese CSR Nanjing Puzhen to develop and manufacture Innovia vehicles for urban and airport transit systems in China.

This partnership was aimed to introduce Bombardier’s Innovia Monorail and automated people mover (APM) technologies in the country.

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