Korean-made train double decker trains to bolster local public transportation for 2030 Word Cup
Hyundai Rotem has clinched a 2.2 trillion won ($1.5 billion) train order contract with Morocco, marking the biggest single deal the company has ever secured.
According to Hyundai Rotem on Wednesday, the company signed the agreement with the Moroccan National Railways Office on the previous day to supply double decker trains to the North African country.
The double decker trains, which will have a top speed of 160 kilometers per hour, are to connect Casablanca, Morocco’s biggest city, with other key regions. Hyundai Rotem expects the trains to contribute to bolstering the public transportation in Morocco as the country prepares to co-host the 2030 World Cup along with Spain and Portugal.
As the production of some trains will take place in Morocco, the company said it would help the growth and development of the local railway industry. Hyundai Rotem and the state-run Korea Railroad Corporation, or Korail, will handle the maintenance and repair of the Korean made trains through separate negotiations with the Moroccan authorities.
The Moroccan contract is expected to boost smaller Korean companies in the railway industry as about 90 percent of the parts that make up the trains will be supplied by Korea’s small- to medium-sized firms.
As the deal signifies Hyundai Rotem’s first entry into Morocco, the Korean train maker contributed the successful signing to the teamwork between the public and private sectors including the Ministry of Land, Infrastructure and Transport and Korail, as they had to compete against European bidders.
For instance, Transport Minister Park Sang-woo went to Morocco last year to meet with the local authorities to promote the competitiveness of Korea's railway industry. Hyundai Rotem noted that Korail’s proposal to transfer technology and offer training experiences received positive feedback from the Moroccan government.
With the Moroccan deal, Hyundai Rotem gained an edge in expanding its presence further in the African market, as it will be able to offer experiences and strengthen competitiveness in the region. Hyundai Rotem has worked with Korean partners for different projects in African countries such as Tunisia, Tanzania and Egypt.
Some of Hyundai Rotem’s previously largest contracts are the 1.4 trillion won Australian NIF double-decker train project, the 1.3 trillion won Australian Queensland train supply contract and the 900 billion won Los Angeles Metro train contract for the 2028 Los Angeles Summer Olympics.
“The secured order is a case that was achieved through ‘One Team Korea’ bringing the public and private sectors together, acknowledging the Korean railway’s competitiveness in the global market,” said a Hyundai Rotem official.
“We will do our best to supply high quality trains to not only (Moroccan) citizens but also visitors to the 100th World Cup in 2030 so they can safely and conveniently ride them.”
hwkan@heraldcorp.com
