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Metro building spree spurs suppliers

7 April 2010
The building spree of metro lines in Yangtze River Delta cities has spurred multinational companies such as Herrenknecht to establish a production base in Wuxi Transport Equipment Industrial Zone, according to a story published by the news agency China News Services. Domestic companies such as Wacker that have also established a local presence and are preparing to enter the market with metro-related technology such as smart lighting systems and subway solar power systems.

Last year, the total turnover of companies in the zone was Rmb3.5bn. By 2012, the administration is predicting a turnover of Rmb10bn.

At the end of 2009, the State Council approved the metro building plans of 22 cities, totalling Rmb900bn. Five of them are located in the Yangtze River Delta region, including Wuxi, Ningbo and Hangzhou.

Considering the rapid pace of industrialisation, increasing urban transport congestion and the need to reduce pollution levels, the metro line building spree is expected to continue for some years to come.

Qinghua and Beijing Jiaotong universities, which boast China’s best R&D capabilities in mass transport systems, are also planning to set up research centres in Wuxi, according to the agency.
     
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