Korean companies eye U.S. bullet train project

Korean train manufacturing companies and government agencies are eyeing a $45 billion bullet train project by the U.S. state of California, officials said yesterday.

The Korea Trade-Investment Promotion Agency said it has signed a memorandum of understanding with state-run Korea Railroad Corp. to support about 10 Korean companies planning bids for the project.



"We are planning to put our efforts towards helping Korean companies win the project, acknowledging the size of the project and its impact on enhancing the nation` status," Kotra president Cho Hwan-eik, said.

The list of Korean companies includes POSCO Engineering & Construction Co. and Hyundai Rotem Co., officials said.

The California state government plans to inject billions of dollars into constructing a high-speed railway that would operate train services at up to 350 kilometers per hour.

California is expected to open the bidding process at the end of the year.

Leading countries in the global train market like Germany and Japan have already begun promotional activities, reports here said.

Korea has been seeking business opportunities in the Middle East and Latin America.

The government of Abu Dhabi is planning to hold a public tender for a $30 billion metro train project. The Brazilian government is also looking to build a $9 billion bullet train project.

Transport Minister Chung Jong-hwan has recently visited Brazil and has asked the Latin American government to cooperate in supporting Korean businesses making inroads into the country.



By Cho Chung-un



(christory@heraldm.com)