Hitachi wins $1.4 bln order for Taiwan railway project
TAIPEI, NNA – Hitachi, Ltd. has won its biggest ever order from Taiwan to build 600 express train cars for the nation’s railway infrastructure improvement project.
The Japanese electronics company said on Tuesday that the deal worth 44.3 billion New Taiwan dollars ($1.44 billion) made with the Taiwan Railways Administration, a government agency, calls for delivery of nearly half of a planned fleet overhaul the Taiwanese government announced in 2015.
The first of the 600 train cars are scheduled for delivery in 2021 and will be used as part of a next-generation rapid transit system connecting Taiwanese cities.
The Hitachi express train is designed to have a maximum speed of 150 kilometers per hour. It features fuel efficiency and comfortable passenger compartments.
Taiwan plans to invest NT$99.7 billion on upgrading its fleet with 1,308 new cars.
“There should be no quality or credibility issue (about Japanese companies) as it is an open bid and Hitachi won it,” said a TRA spokesman, when asked about the derailment of a train made by Nippon Sharyo in Taiwan last year. The driver of the train that crashed, killing 18 people, said he had turned off its speed-control system before the accident.
Hitachi entered the Taiwanese railway market in the 1960s, and was part of a consortium of Japanese companies supplying a Shikansen bullet- train operation system in 2007, and electrical substations in 2017.
The company has received an order worth 200 billion yen ($1.8 billion) in Europe in the past, but the latest order is the largest it has won from Taiwan, a Hitachi official said.
By strengthening overseas businesses, the company aims to boost annual sales at its railway business to 1 trillion yen in the next decade, up from 562.7 billion yen in sales in the year that ended in March, according to a media report last year.