+
Government Explores Incentive to Boost Local Train Manufacturing
POWER & RENEWABLE ENERGY

Government Explores Incentive to Boost Local Train Manufacturing

It is reported that the government is currently exploring the implementation of a program linked to production incentives (PLI) aimed at reducing reliance on imports and attracting foreign manufacturers in the train component manufacturing sector. According to the report, a consultant will compile a list of components used in constructing engines and coaches, commonly referred to as rolling stock, which are predominantly imported.

In the case of imported items, the government is offering incentives based on output through the PLI initiative. The Indian Railways, one of the world's largest transportation systems, presently encompasses 28 types of passenger coaches. However, the government intends to streamline this to just two categories: Linke Hofmann Busch (LHB) and Vande Bharat, as indicated by the report.

LHB coaches, introduced in 1999, have a 1.5 percent import component, while Vande Bharat trains have a 15 percent import component. An official mentioned in the report emphasized that the primary focus would be on evaluating the export potential of Vande Bharat trains and the steps required to promote the localization of train components. The report also highlighted that manufacturing these components domestically would lead to more economical maintenance of these coaches.

The proposed PLI program is expected to encourage the establishment of new manufacturing facilities or the expansion of existing ones to supply coach and engine parts that are presently imported, as stated by the official. Despite sustained demand from the railways, India continues to import crucial components for rolling stock, including wheels and axles.

In recent developments, a contract was awarded to TZ (Taizhong) Hong Kong International Ltd in April for 33,000 LHB wheels, and Bonatrans India also secured an order. The latter was importing black forged axles from Railteco, China, and then conducting the machining process in India. To reduce dependency on imports, a procurement order was issued by the railways for 1.54 million domestically produced forged wheels.

An additional official noted that the demand for components related to Vande Bharat and LHB is expected to witness significant growth within the country. This is attributed to the projection that around 4,500 Vande Bharat trains will be operational in India by the year 2047.

See also:
Titagarh Wagons confirms single-largest order for 24,177 wagons
CEA approves transmission lines for hybrid power project in TN


It is reported that the government is currently exploring the implementation of a program linked to production incentives (PLI) aimed at reducing reliance on imports and attracting foreign manufacturers in the train component manufacturing sector. According to the report, a consultant will compile a list of components used in constructing engines and coaches, commonly referred to as rolling stock, which are predominantly imported. In the case of imported items, the government is offering incentives based on output through the PLI initiative. The Indian Railways, one of the world's largest transportation systems, presently encompasses 28 types of passenger coaches. However, the government intends to streamline this to just two categories: Linke Hofmann Busch (LHB) and Vande Bharat, as indicated by the report. LHB coaches, introduced in 1999, have a 1.5 percent import component, while Vande Bharat trains have a 15 percent import component. An official mentioned in the report emphasized that the primary focus would be on evaluating the export potential of Vande Bharat trains and the steps required to promote the localization of train components. The report also highlighted that manufacturing these components domestically would lead to more economical maintenance of these coaches. The proposed PLI program is expected to encourage the establishment of new manufacturing facilities or the expansion of existing ones to supply coach and engine parts that are presently imported, as stated by the official. Despite sustained demand from the railways, India continues to import crucial components for rolling stock, including wheels and axles. In recent developments, a contract was awarded to TZ (Taizhong) Hong Kong International Ltd in April for 33,000 LHB wheels, and Bonatrans India also secured an order. The latter was importing black forged axles from Railteco, China, and then conducting the machining process in India. To reduce dependency on imports, a procurement order was issued by the railways for 1.54 million domestically produced forged wheels. An additional official noted that the demand for components related to Vande Bharat and LHB is expected to witness significant growth within the country. This is attributed to the projection that around 4,500 Vande Bharat trains will be operational in India by the year 2047. See also: Titagarh Wagons confirms single-largest order for 24,177 wagonsCEA approves transmission lines for hybrid power project in TN

Next Story
Equipment

Liebherr secures 130-dozer deal with Turkey’s State Hydraulic Works

Liebherr Turkey has signed a major equipment supply agreement with the Turkish State Hydraulic Works (DSİ) for the delivery of 130 crawler tractors to be used across the country’s key infrastructure and environmental projects.The agreement covers 120 PR 756 Litronic and 10 PR 736 Litronic crawler tractors, with production scheduled at Liebherr’s facility in Telfs, Austria. This marks a significant continuation of the long-standing collaboration between DSİ and Liebherr, which began over a decade ago with the delivery of PR 754 Litronic dozers.Designed for heavy-duty operations, the PR 75..

Next Story
Infrastructure Transport

Noida to Revamp Transport Nagar Chowk with Rs 4-Crore Beautification Plan

The Noida Authority has unveiled plans to redevelop Transport Nagar Chowk in Sector 67 with a Rs 4-crore beautification project. Aimed at enhancing connectivity, accessibility, and urban aesthetics, the project will upgrade a 500-metre stretch along DSC Road with modern, inclusive, and sustainable infrastructure.Officials stated that the stretch will be enhanced with ornamental lighting, sculptures, seating areas, bollards, food kiosks, and ramps for differently-abled individuals. A tender for the project is expected to be issued soon.Neelima Rana, partner at Orionn Architects—the firm behin..

Next Story
Infrastructure Transport

Centre Approves Noida Metro Extension to Bodaki Multimodal Hub

The Central government has approved the extension of the Noida Metro Aqua Line from Depot Station to the upcoming Multimodal Transport Hub (MMTH) at Bodaki, marking a major push for enhanced connectivity in the National Capital Region (NCR). The 2.6-km extension is expected to be completed within three years.The project, already cleared by the Uttar Pradesh Cabinet, will now move to the construction stage under the supervision of the Noida Metro Rail Corporation (NMRC). The extended route will include two additional stations — Junpat Village and Bodaki — connecting to the MMTH, which will ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?