Toshiba Wins Order in South Africa for Electrical Equipment
OREANDA-NEWS. March 02, 2011. Toshiba Corporation (TOKYO: 6502) today announced that it has won a major order from Mitsui & Co., Ltd. under which it will supply essential electrical equipment for 32 electric locomotives for the Transnet Freight Rail Division of Transnet Limited, a leading South African integrated freight transport company. The contract covers traction motors and other drive systems and auxiliary power supply systems for 4,500kW electric locomotives that will be used to transport iron ore. Delivery will start in autumn this year and continue through spring 2013.
South Africa is a key market for Toshiba's transportation systems business. To date, Toshiba has won orders for electrical equipment and systems for a over 220 electric freight locomotives, including some 150 in the period from 2006 to 2008 with Mitsui. This latter figure includes an October 2006 order for electrical equipment and systems for the same type of locomotives covered by the latest contract.
Toshiba's track record of supplying electrical equipment for locomotives in South Africa, combined with the reputation for energy-efficient performance and reliability secured by the equipment and systems Toshiba has previously delivered, contributed to the award of the new order. Under the contract, Mitsui will serve as main contractor and Union Carriage and Wagon Company (Pty) Ltd. (UCW), a Nigel-based company, will be responsible for manufacturing and assembling the locomotive bodies. Toshiba will provide UCW with electrical equipment and technical support.
South Africa is one of the world's leading producers of iron ore, coal and other minerals. Increasing global demand for minerals is spurring the need for rolling stock to transport these resources, and prompted Transnet to invest in replacing current locomotives and boosting freight transport capacity. Toshiba is now stepping up marketing efforts in South Africa and neighboring countries, where demand for rolling stock is expected to grow.
The tempo of order-taking for Toshiba's rail transport-related equipment is increasing in Africa. For instance, in August 2010 Toshiba won an order for electrical equipment and systems for rolling stock for the Cairo Metro in Egypt.
Toshiba will strengthen initiatives to win orders in emerging economies in Africa and elsewhere with a view to achieving sales of 200 billion yen from the transportation systems business in fiscal 2015.
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