RM Rail plans to develop business in Khakassia

RM Rail, one of the leading freight rolling stock manufacturers in Russia, plans to expand RM Rail Abakanvagonmash container manufacturing capacity and organize a rail car maintenance facility at its site. President of RM Rail Holding Konstantin Danilov met with Deputy Head of Khakassia Irina Voinova. The parties discussed the prospects for business development on the territory of the republic. Konstantin Danilov said that in the next two years RM Rail plans significant capital expenditures to upgrade the enterprise for potential output of 7.5 thousand containers per year. The topic of creating a large enterprise for the repair of rolling stock in Khakassia is also under consideration.

In the next 2-3 years, Novokuznetsk-Abakan-Taishet railway will become the second major branch line of the Trans-Siberian Railway supposed to take in additional cargo traffic. According to experts, transit of goods in the East-West direction is growing by 10-15% a year. An increase in the volume of coal exports to the East is expected. In this regard, demand for containers and rolling stock repair services is forecasted to grow.

Konstantin Danilov, President of RM Rail Holding JSC:

- The company plans to ramp up RM Rail Abakanvagonmash production capacity and increase container output from 3 thousand to 7.5 thousand a year. We are talking about a wide range of models, mainly based on 1CC standard size. Our Technical Upgrade Plan is scheduled till the end of 2021. The plan implies purchase of plate bending machines, paint booth, renewal of die tooling, renovation of the finished goods warehouse. A project to arrange rolling stock repairs based on the enterprise’s site is under detailed review. If the maintenance service center business case proves to be cost-effective, Abakanvagonmash will be able to repair about 5 thousand rail cars a year.