BEIJING -- A subsidiary of CSR Corporation Limited (CSR), China's largest rail vehicle maker, said Monday that it signed an agreement with US-based Wabtec Corporation to establish a joint venture to produce braking systems for rail cars.
According to the agreement, the CSR Zhuzhou Electric Locomotive Research Institute Co, Ltd (CSR-ZELRI) and Wabtec, a leading maker of brakes for locomotives and other rail vehicles, will each hold a 50 percent stake in the new company.
The company will develop braking systems for rail vehicles and provide services including after-sales and renovation support. It will be located in Changsha, capital city of central China's Hunan province.
As most Chinese metro projects are using overseas braking systems for safety concerns, the move will promote CSR's role in producing braking systems and providing integrated services for the country's rail car industry, said the CSR-ZELRI.
The CSR runs 60 percent of the country's metro projects annually in terms of contract value. More than 40 subway lines in 15 major Chinese cities are currently using its rail cars.
