Rolls-Royce has agreed to a $112 million to deal to build 232 engines for Chinese locomotive manufacturer CNR Dalian to power freight trains in South Africa.
The deal represents one of the biggest infrastructure projects in South Africa’s history, as the country continues to work diligently to completely revamp its rail network and fleet of freight locomotives.
Rolls is planning on manufacturing MTU Series 4000 engines in Germany, with delivery of the engines set for sometime between 2015 and 2017.
“We are proud to be supplying MTU’s most powerful locomotive engine for one of the largest transport infrastructure projects in South Africa,” said Ulrich Dohle, chief executive of Rolls-Royce power systems.
Typically associated with producing engines for ships and aircraft, the deal to power locomotives is not only a major step for Rolls-Royce as a company, but also a “breakthrough” into the key Chinese market.
Michael Haidinger said, “Winning this order signals our breakthrough into the market for Chinese freight locomotives, which are being exported in ever larger quantities.”
