Tuesday September 25, 2012
Malaysia-China venture to manufacture locomotives at new centre in Perak
By REGINA LEE
KUALA LUMPUR: Malaysia is set to become Asean's rail manufacturing hub with the setting up of the first rail centre in the region.
China's largest metro vehicle manufacturer, China Southern Rail Group, yesterday inked a memorandum of agreement with the Malaysian Government to set up shop in Batu Gajah, Perak, also their first centre outside China.
Prime Minister Datuk Seri Najib Tun Razak who witnessed the signing of the MoA said he was certain the RM400mil centre would become the catalyst for growth for industries involved in railway technology in Malaysia.
“I am hopeful that it will be a pivotal nerve centre in providing the technical know-how and transfer of technology to Malaysians working at the centre while also generating jobs and business opportunities,” he said.
He said in 10 years, there would be a demand for 250 new unit of rail cars and locomotives in Malaysia while the demand from Asean and the Middle East was expected to touch 2,900 units.
“This is a massive new market and I fervently hope a certain percentage will be fulfilled at the CSR Rail Centre,” he said.
“The plant is expected to build 100 to 150 new train cars each year and refurbish another 150.
“It will help boost economic growth, create jobs and greatly enhance the capacity of high-end rail equipment manufacturing in Malaysia,” said CSR Group vice-president Fu Jianguo.
The centre, which is scheduled to start operating in 2014, will be located on 20.23ha of leased land.
CSR ZELC recently provided 38 sets of six-car rolling stock for KTM Berhad's MyKomuter train services.