Consortium formed with ST Engineering

Contract signed with Taoyuan city rail bureau

Deal worth 5.9% of last year's consolidated sales

Contract runs through October 2034

A metro railcar manufactured by Hyundai Rotem for Seoul Subway Line 2. [Hyundai Rotem]
A metro railcar manufactured by Hyundai Rotem for Seoul Subway Line 2. [Hyundai Rotem]

Hyundai Rotem has secured a 344.51 billion won ($253 million) urban rail contract in Taiwan, the company disclosed Wednesday. The deal, signed with the Taoyuan City Government Railway Engineering Bureau, covers the electrical and mechanical systems supply for the Taoyuan Brown Line and is equivalent to 5.9 percent of Hyundai Rotem's 5.84 trillion won in consolidated sales last year.

The project will be carried out through a consortium with Singapore-based ST Engineering Urban Solutions.

The total project value is approximately 1.29 trillion won, of which Hyundai Rotem's share amounts to about 344.5 billion won.

The contract runs from Aug. 19 to Oct. 4, 2034. Payment will be made on a progress-billing basis, with an initial down payment and advance payment provided at the outset.

The Taoyuan Brown Line is an urban rail project linking Taoyuan to Guishan and onward to the Huilong area of New Taipei City. The 11.4-kilometer line will have eight stations — five below ground and three elevated. Hyundai Rotem will supply driverless electric multiple units and power supply systems.

The contract marks another addition to Hyundai Rotem's growing footprint in the Taoyuan area. The company won the Taoyuan Green Line automated light rail project in 2018 and has been supplying rolling stock and rail systems for that line.


kwater@heraldcorp.com