United Wagon Company to Deliver Freight Cars to South America

A freight train in Buenos Aires, Argentina © Jacques Leblond-Murphy (licence)

The United Wagon Company (UWC) and TMH International AG, a subsidiary of JSC Transmashholding, have signed an agreement to develop freight transportation across South America.

The agreement provides a framework for co-operation in the sale and delivery of integrated freight transport solutions that include locomotives manufactured by JSC Transmashholding and freight cars and components manufactured by UWC. The products will be sold to operators in Argentina, Bolivia, Paraguay and Uruguay.

The current fleet of rail cars in South America comprises approximately 145,000 units. The majority of units are designed to American Association of Railroad standards in gauges of 1000, 1067, 1435, 1600, and 1676mm. The units provided by UWC will facilitate the projected demand for an additional 4,500 rail cars per year, based on the expected expansion of railways on the continent in line with the development of the agricultural and fishing industries.

Maksim Kezemchenko, Deputy CEO for Business Development, United Wagon Company, said:

“We expect South American markets to experience rapid growth driven by expansion of mineral extraction and other mining and processing operations. Transportation, especially railway transportation, is a sector of industry to receive priority investment in the context of economy growth. I am confident our partnership in the region will be highly successful, and customers will appreciate the quality and technological advantages of our products.”

The partnership will use the industrial and financial infrastructure in South America developed by TMH Argentina, a subsidiary of TMH International AG.

Franco Comparato, General Director, TMH Argentina, said:

“We believe in the prosperous future of the Argentinian transportation market as well the entire South American continent. Transmashholding is interested to expand the portfolio of products and solutions it can offer to the customers in South America, and we are glad to welcome UWC as our partners.”

In 2017 UWC shipped almost 600 cars and 200 large casting car sets to North America, Europe, Africa, and Middle East.