The Ministry of Transport of the Russian Federation, Russian Railways (RZD) and the State Committee on Development and Reform of the People’s Republic of China, and Chinese Railways Corporation signed a memorandum of understanding on High-Speed Rail Transport.
The objective of the document is the development of the Eurasian high-speed transport corridor from Moscow to Beijing project, including the priority HSR Moscow – Kazan.
According to the memorandum, China is interested in participating in a project under a PPP and in the equity-financing process. In addition, the Chinese part can supply appropriate technologies and localise production of rolling stock and components.
RZD President Vladimir Yakunin stated that a joint venture for the production of high-speed trains will be created. Considering that the HSR project stipulates a high level of localization of the production (over 50%), the Chinese rolling stock producers need to identify local partners.
The total cost of the four section Moscow-Kazan railway is estimated at more than a trillion rubles (USD 25 billion). The 770 km-long railway will reduce the travel time between Moscow and Kazan in the Republic of Tatarstan from 11.5 hours to 3.5 hours. The project is the first part of the 7,000 km Moscow-Beijing railway linking Russia, Kazakhstan and China.