Georgia to Produce International Standard Locomotives

On October 4, 2016, Georgian Railway and major Chinese Corporation CRRC signed an agreement for the purchase of 28 new locomotives.

The agreement will also act as a prerequisite to building a joint Georgian-Chinese factory producing modern rail rolling stock products. CRRC ZELC are to build the factory in partnership with BMI Partners and AS Group 1990 with an investment cost of USD 20 mln.

The factory, equipped with the latest technology, makes it possible to produce modern locomotives, metro wagons and other types of railway rolling stock. Georgian Railway will employ up to 600 people in the construction process.

On completion of construction, 400 qualified specialists will start working and retraining will be provided by CRRC ZELC. The project is expected to indirectly employ 3,750 people in all.

“For large scale projects like this, it is essential to have strong strategic partners,” said Vakhtang Burkiashvili, Head of BMI Partners Supervisory Board. “Our partners include major international players in railway rolling stock production: the German Siemens, French Alstom, Canadian Bombardier, American GE and Chinese CRRC. Among these largest is CRRC, now our strategic partner.”

As the project organizers say, the production of modern international standard locomotives in Georgia also forsees a railway stock repairs depot and modernization of vital infrastructure. This will result in a reduction in shipping costs and time.

Natia Liparteliani