Wagon Pars Signs $62m Manufacturing Contract

EghtesadOnline: A contract worth 2.6 trillion rials ($62 million) to manufacture 100 gondola wagons was signed between the Wagon Pars company and a local company on Tuesday, the CEO of Wagon Pars said.

News ID: ۷۸۲۵۷۲

13 May 2018

Mohammad Reza Mokhtari added that Wagon Pars has the capacity and raw materials for the project and manufacturing operations will begin in the near future, IRNA reported.

The name of the local company was not disclosed by the news agency.

Wagon Pars, located in the city of Arak in the central Markazi Province, is a subsidiary of the Industrial Development and Renovation Organization of Iran and the largest manufacturer of freight, passenger and subway wagons in the Middle East, according to Financial Tribune.

Wagon Pars, along with two other Iranian companies Arak Steel and Wagon Kowsar, has an agreement with Russia’s United Wagon Company for the joint production of 20,000 freight cars, 1,000 passenger cars, 350 locomotives and rail transportation equipment.

Russia signed a deal with Iran in December 2017 to finance €3 billion for the project.

As per the agreement, 6,000 cars will be manufactured in the first phase of the agreement, the contract for which was signed in February 2017.