Germany is in dialogue with China to purchase trains, which raises spirits for workers in China’s rail industry. Germany might purchase 35,000 pairs of high-speed train wheel-sets from China. Although Germany has its own local providers, China has been manufacturing high-speed train components with a lower price and guaranteed quality. In order to cut costs, Germany decided to buy China’s high-speed train products.
If Germany is panning to buy China’s high-speed train manufacture goods, we can safely say that foreign people’s belief in China’s high-speed rail industry is growing. In recent years, China has had few advantages in traditional foreign trade, but the export of newly emerging high-tech industries like high-speed train components is becoming crucial to the transition and upgrading of the old trading model. The development and maturity of domestic high-speed rail industry form a solid foundation for China to begin exporting more high-quality goods.
A research showed China is using at least 1,300 high-speed trains,, the most in the world; China has had the highest growing development of high-speed trains, ranging from 200 km/h to 380 km/h. These high-speed trains have already run 1.6 billion kilometers. All these facts indicate how China is growing stronger and able to compete with foreign manufacturers in the high-speed rail industry. Moreover, China has had much experience in construction and operation of building railroads under severe weather conditions, with two thirds of usual costs and time of construction compared to America and European countries, making its high-speed rail industry very attractive to foreign country investors.
For now, China is in talks with over 20 foreign countries including Turkey, Brazil, the U.S. and Russia. As the global rail market is rapidly growing , many countries are considering the high-speed rail as the key to new infrastructure development. That means many domestic enterprises in the high-speed train industry like China’s CNR, CSR, CREC, TGOOD, Tianma Bearing Co. and Taiyuan Heavy Industry Co. will be increasing their foreign trade rosters.