Egypt to Establish Rolling Stock Factories as Minister of Transport Concludes Discussions during Middle East Railway Exhibition and Conference 2023 in Abu Dhabi
The Minister of Transport has concluded discussions to establish two rolling stock factories during his participation in the Middle East Railway Exhibition and Conference 2023 in Abu Dhabi, UAE.
On May 16, 2023, Lieutenant General Engineer Kamel Al-Wazir, the Minister of Transport, held separate meetings with officials from the Spanish company Talgo and the French company Alstom. The purpose of these meetings was to finalize discussions between the Ministry of Transport and the two companies regarding the establishment of two rolling stock factories in Egypt. These factories will manufacture railway coaches, subway coaches, electric trains, as well as electromechanical devices and systems.
During the meeting with Engineer Mohamed Khadra, the Regional Director of Talgo for train manufacturing, the latest developments regarding the establishment of the Talgo Egypt factory were discussed. The factory will manufacture railway passenger coaches in Egypt based on the cooperation protocol signed between ENR and Talgo. The Regional Director confirmed that a delegation of experts from Talgo International Spain will visit Egypt in the coming days to review all necessary procedures for the establishment of the factory.
The Minister of Transport emphasized the importance of this factory, which is planned to be located in Kom Abu Radi in the Beni Suef Governorate. The factory, covering an area of 20 acres, will be equipped with full facilities and will be situated near the Kom Abu Radi workshops affiliated with the railway. It will serve as a complex for the manufacture and maintenance of rolling stock and its components, utilizing advanced modern technology from Spanish Talgo coaches.
The factory will also undertake maintenance work for trains. The manufacturing process will involve Egyptian engineers and technicians, supervised by Spanish experts. The factory aims to achieve a manufacturing work rate of 97%, equivalent to the Talgo company’s factory in Spain, starting with the production of 50 high-tech Talgo trains in the first stage, followed by 50 Telego trains in the second stage. The goal is to gradually increase the reliance on local suppliers, aiming for up to 45% of local components through Egyptian companies.
In his meeting with Andrew Dillon, the regional president of the French company Alstom, and vice president of the company, the Minister of Transport discussed the latest developments regarding the financing and implementation of systems and rolling stock for the sixth metro line. They also discussed progress in transport studies, feasibility studies, initial designs, and plans for their completion to commence implementation. Additionally, they addressed the establishment of a factory in Egypt, in collaboration with Alstom, for manufacturing subway coaches and electromechanical systems and devices.
The Minister of Transport emphasised the significance of establishing these rolling stock factories in Egypt, aligning with the directives of President Abdel Fattah El-Sisi to localize heavy industries, including the manufacture of rolling stock using the latest methods and international standards. This cooperation with major international companies reflects the involvement of the private sector in transportation projects, in accordance with the directives of the political leadership. These steps mark the realization of Egypt’s ambition to become a major industrialized country in the field of rolling stock, meeting local market needs and generating foreign currency through exports, particularly to African countries. Furthermore, it will create job opportunities for young people and contribute to increasing national income.