China’s Top Train Makers to Merge to Better Compete with Foreign Makers
China CNR and CSR Corp to of China’s top train makers are planning to create a merger in hopes to create a giant that can be able to complete globally with the Bombardier and Siemens. China created the world’s longest high speed train network in the span of ten years and has freely expressed their desire to export its train making technology.
But the two State owned firms have been competing with each other while trying to sell their trains abroad. Several sources said that both firms have already created a working group to discussion on the possible integration along with investment bank China International Capital Corp was been appointed to overlook the organization.
The heads of both CNR and CSR are on agreement in the planned integration and will be handing over the State Council to be in charge or the project of plans will be done in great speed which at the moment the biggest concern of the council based on their projects and other personal changes. Trading was also halted last Monday and both companies issued statement that said they are resolving important issues and trading will be back to normal in five working days.