China-based TZ (Taizhong) Hong Kong International has secured a contract worth INR 1.7 billion ($ 21.3 billion) from Indian Railways.
Under the agreement, the Chinese company will supply 39,000 train wheels to Indian railways, they said The Economic Times.
The latest contract was awarded to the Chinese company, as supplies from other countries were affected as a result of Russia’s invasion of Ukraine.
A senior railway ministry was quoted as saying by the news agency: “These wheels are for the Vande Bharat trains. This development can be seen as a way out of the Russia-Ukraine crisis, as there is a shortage of railway wheel suppliers to India.
The wheels will be manufactured at the Taiyuan Heavy Industry Railway Transit Equipment Company in Dianzi Steet in Taiyuan City, Shanxi, China.
TZ Hong Kong International is the international sales division of Taiyuan Heavy Machinery Group.
Indian Railways also plans to produce wheels locally after Russia’s military attack on Ukraine.
Separately, the Indian Ministry of Railways and the Ministry of Road Transport, in cooperation with the Border Roads Organization (BRO), plan to develop the country’s first underwater road and railway tunnels across the Brahmaputra River in Assam.
The project is expected to involve an investment of about INR 70 billion ($ 903 billion).
The project will build three tunnels, one for road, another for rail and a third for emergency use.