Bombardier continues to expand in China:
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Friday, November 12, 1999
Money News
Bombardier's planned China
plant wins railcar contract
MONTREAL (CP) -- Bombardier Transportation's first plant
in China, set to open in the spring of 2001, has won a
$345-million contract to supply 300 high-grade passenger
railcars for China's Ministry of Railways.
Bombardier's joint-venture partners in the plant are Sifang, a
subsidiary of the ministry, and Power Pacific Corp., a
subsidiary of Power Corp. of Canada.
With an option for 200 more cars, the partners plan to open
a plant in Qingdao, Shandong Province, about 650 kilometres
from Beijing, Bombardier said today in a release.
There are plans to hire up to 1,300 workers in about three
years, and deliveries are to take place from March 2002 to
February 2005.
"We are very pleased to establish an industrial presence in
China, one of the great markets of the world for rail
transportation products," Jean-Yves Leblanc, Bombardier
Transportation's president and chief operating officer, said in a
release.
"Expanding our manufacturing capabilities and expertise to
this part of the world is another significant step towards
achieving our long-term growth objectives."
Bombardier and Power Pacific will each own 25 per cent of
the new plant while Sifang owns 50 per cent. About $110
million is to be spent on the 50,000-square-metre facility at
Sifang's existing factory.
The plant will make passenger coaches, subway cars, light
rail vehicles, commuter cars and high-speed intercity cars for
Chinese and export markets.
Parent company Bombardier Inc. of Montreal operates
plants in 12 countries in North America, Europe and Asia,
and more than 90 per cent of its revenues are generated
outside Canada |
