Transmashholding to form Iranian rolling stock joint venture

An agreement to establish a joint venture to produce rolling stock in Iran was signed on July 31 by Transmashholding and Industrial Development & Renovation Organization of Iran.

The companies plan to form a joint venture owned 80% by Transmashholding and 20% by IDRO. This would use the Wagon Pars plant to produce rolling stock using Russian financing.

The deal is worth €2·5bn, according to local reports, and builds on a memorandum of understanding signed in March.

On July 23 IDRO, IRICO and Transmashholding shareholder Alstom had signed a separate memorandum of understanding for the potential formation of an urban rail rolling stock manufacturing joint venture.