Alstom and Bombardier seem to have prevailed over the Chinese companies in the Israel Railways massive locomotive tender. After the two huge Chinese companies that bid for the tender - CSR and CNR - merged, the two other bidders Alstom and Bombardier threatened to sue if the Chinese companies were not disqualified. The tender is worth $1.3 billion.
Today, the two remaining manufacturers filed their improved financial bid and in the coming few days the Israel Railways tenders committee will declare the winner. Israel Railways is in the midst of its huge NIS 13.7 billion electrification project due to be completed by 2021 when diesel trains will be replaced by electric ones.
One of the largest tenders for this project is for the purchase of 94 electric locomotives at a cost of €3.5 million. Four bids were initially received from French company Alstom, Canadian company Bombardier and the two Chinese firms CNR and CSR. After CNR and CSR merged, Israel Railways investigated price fixing between them. At the same time Bombardier and Alstom insisted it was forbidden for an entity which had not originally bid for the tender to take part. It now seems that neither CSR or CNR have submitted a bid for the tender .
Israel Railways said in response that “the company does not discuss subjects currently under debate at by a tender committee.” CSR refused to comment on the matter.
Published by Globes [online], Israel business news - www.globes-online.com - on August 3, 2015
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