On June 12, CNR released the bulletin, stating that CNR Import & Export Corp. Ltd., the wholly-owned subsidiary of CNR, signed the sales contracts on the freight wagons, totaling RMB1.049 billion yuan, with LinkosKom Ltd., and KazGidroSnab Ltd. respectively, which are the continuous order on the freight wagons supplied by CNR for Kazakhstan in less than one year.
In October 2008, CNR Qiqihar Railway Rolling Stock Co., Ltd supplied the first batch freight wagons to Kazakhstan, and it has never stopped its production line on freight wagons for Kazakhstan since then. Among 12 countries of CIS system across European-Asian continent, Kazakhstan owns a large quantity of fleet on the freight wagons, just less than Russia and Ukraine. CNR has formed its brand effect on the freight wagons in Kazakhstan, radiating to other areas, which will be in favor of CNR to compete for the order on the newly-built wagons of Euros 2.3 billion in CIS region each year.
According to the analysis of “Railway Equipment Market in the World (2009-2014)”, issued by SCI Verkehr, a German advisory company, the railway transportation, taking 90% of the freight, has almost becomes the lifeline of the national economy and the social life in CIS region due to the low efficiency of the road traffic, unnavigable water all year round and expensive air fares. CIS countries and regions are rich in mineral oil and gas resources, have the fleet of wagons nearly 1.33 million vehicles, and are the third largest market on the freight wagons, second only to North America and Asia. However, due to historical reasons, recent 20-year has seen the seriously-aged wagons running, low output of the newly-built wagons, slow replacement and renewal on the wagons and the speed on producing the new wagons far slower than discarding the old wagons, which requires the urgent supplement and replacement of the wagons with its current market capacity of 2.3 billion Euros for new freight wagons.
As a freight wagon supplier, CNR is the largest in China, the second-largest in the world, sharing 13% of the global market on the freight wagons.CNR is the first company in China to get the permission to manufacture the freight wagons of 1520 mm track gauge, according with the railway system of the CIS, and successfully to provide the wagons to the CIS regions. Before that, most of the freight wagons came from Russia. CNR, depending on the advantages of its developed freight wagons with 1520 mm track gauge and continuous orders, will further strengthen its market advantages in CIS region.