July 5, 2012

Bombardier signs Chinese tram tech agreement

Bombardier Transportation signed a Technology License Agreement with CSR Puzhen, a subsidiary of the largest player in the railway manufacturing sector in China — China South Locomotive & Rolling Stock Corporation Ltd. (CSR). Under the agreement, Bombardier provides CSR Puzhen with a 10-year license to manufacture and sell 100% low-floor trams with Bombardier technology in China, including Hong Kong and Macao.

The licensed product is a variant of the Bombardier Flexity 2 platform of vehicles already operating in Blackpool, U.K. and being delivered to the Gold Coast, Australia. The agreement covers the preparation and delivery of documentation of the licensed product as well as training and assistance for CSR Puzhen's employees to understand the documentation and enable them to successfully manufacture and sell the licensed product.

Bombardier will not actively build vehicles in China, but comprehensively support its new Chinese partner. The vehicles will be equipped with the Bombardier Flexx Urban 3000 bogies and the Bombardier Mitrac 500 propulsion and control system.

After recent significant achievements in China's high speed train, locomotive, signaling and metro segments, Bombardier Transportation is now entering the tram market in China through a co-operation with CSR Puzhen. This move supports Bombardier's strategic drive to grow strong "local roots" in key markets.

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