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Puerto Vallarta News NetworkNews Around the Republic of Mexico 

China Expected to Supply Mexico with Bullet Train Tech

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October 21, 2014

A $4.3 billion plan to build Latin America's first high-speed passenger trains and a 130 mile line linking Mexico City and the central city of Queretaro was presented by a consortium of four Chinese firms.

China moved a step closer to exporting their expertise in constructing high-speed trains and tracks for the first time, as the Mexican government said a consortium involving four Chinese firms was the sole bidder for a project to break ground this year.

The consortium, which the Mexican government said was the sole bidder for the project, consists of China Railway Construction Corp., China Railway International Group, China Railway Construction Corp. (Mexico) S.A. de C.V., and CSR Corp.

A $4.3 billion plan to build high-speed passenger trains and a 130 mile line linking Mexico City and the central city of Queretaro was presented by the consortium, according to Mexico's Ministry of Transportation.

China finished its first domestic high-speed line, from Beijing to the port city of Tianjin, in 2008. By the end of last year, some 6200 miles of high-speed lines were in place.

Premier Li Keqiang, has spearheaded diplomatic efforts to export China's expertise building trains and lines. Li has tried to sell the country's experience building a network to countries such as Britain, Thailand, and others.

CSR will make the trains in Mexico, and the three other companies will build the lines. Mexico's government expects the trains to run 186 mph and carry 23,000 passengers daily.

The consortium involving the Chinese firms is likely to win the project, a source from CSR said. Mexico's government opened the project for bidding on August 15th and companies had two months to respond. Many companies, including the German engineering group Siemens AG, were interested in the project, said another source close to CSR, but most firms thought the bidding schedule was too short. They asked Mexico's transport ministry to extend the timeframe, but were rejected. These firms then withdrew from bidding, and the consortium of Chinese companies became the sole bidder.

The Mexican government is to make a final decision on November 3rd on whether it will proceed with the plan involving the Chinese companies. Work is to start this year and the line will open in 2017, the bidding documents show.

Original Story