Hyundai Rotem Bags Largest Deal Since Its Founding

Hyundai Rotem, a train-making affiliate of Hyundai Motor Group, has inked a 187 billion won (US$156.7 million) maintenance deal in New Zealand. It is the largest contract the company has won since its founding.

Hyundai Rotem announced on March 15 (local time) that it has signed the deal with France-based Transdev, a suburb transit provider in Wellington, at the city government office in Wellington, New Zealand, to maintain and repair subway and passenger cars.

Under the contract, the company will take care of 166 subway cars and 25 passenger cars in Wellington starting in July for 15 years, including nine years of basic periods and six years of additional options. Hyundai Rotem supplied the 166 subway vehicles earlier.

The global subway market is consisted of the supply of vehicles, maintenance and repair, electricity and track, and signal and telecommunications. The maintenance and repair market is worth about 70 trillion won (US$58.66 billion), accounting for 30 percent in the 232 trillion won (US$194.4 billion) global subway market.

Hyundai Rotem has clinched maintenance deals worth 340 billion won (US$284.9 million), including Seoul Metropolitan’s Subway No. 9 in 2009, Turkey’s Marmaray Railway in 2010, Egypt’s Cairo Metro Line in 2012 and Ukraine’s Railway in 2015.