GE Transportation has signed a letter of intent with China's Ministry of Railways valued at USD1.4 billion.
The deal includes USD350 million for export in locomotives, locomotive sub-assembly kits, service support and railway signaling systems. These exports reportedly have the potential to sustain or create approximately 2,000 high-tech manufacturing jobs in the U.S. GE also signed an LOI with MOR reaffirming both parties' intent to collaborate on high-speed rail opportunities in North America.
According to the terms of this agreement, GE and CSR Corporation Limited plan to establish a U.S.-based joint venture to advance the passenger rail market in North America. Any potential high-speed trains or signaling equipment would be sourced from U.S. suppliers, and all final assembly would be performed in the U.S.