CSR spends 5b yuan on new manufacturing base
Updated: 2011-10-22 10:42
The China South Locomotive & Rolling Stock Co (CSR), the country's largest train manufacturer, on Oct 21 said it will spend 5 billion yuan ($787 million) to build a manufacturing and repair center in Southwest China.
Chairman of the CSR Board Zhao Xiaogang said the company signed an investment deal with the municipal government of Chengdu on Oct 21.
An initial investment of 1.5 billion yuan will be used to build a manufacturing and repair base for light rail and subway trains, while futher investment will be used to allow the base to repair and service railway trains, locomotives and eletric vehicles, Zhao said.
CSR posted a net profit of 2.04 billion yuan in the first half of the year, up 85 percent year-on-year on strong demand for high-speed rail equipment. Revenues surged 42 percent to 40.12 billion yuan during the period.
CSR's business grew robustly this year, with exports estimated to jump 50 percent year-on-year, company officials said.