Chinese firm bids for Metro work; MMRDA to decide soon

Three companies, including a Chinese firm, have shown an interest in manufacturing 234 coaches for Mumbai Metro-4 (Wadala-Thane-Kasarvadawali) as well as its extension

Three companies, including a Chinese firm, have shown an interest in manufacturing 234 coaches for Mumbai Metro-4 (Wadala-Thane-Kasarvadawali) as well as its extension line 4A (till Gaimukh). The development comes amid the border stand-off between India and China in Ladakh and the consequent cancellation of bids given to Chinese firms in various projects across sectors.

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According to an official from the Mumbai Metropolitan Region Development Authority (MMRDA), the bids were invited in December last year and recently, domestic manufacturer Bharat Earth Movers Ltd (BEML), Canadian company Bombardier and Chinese firm CRRC Corporation Ltd, expressed their interest in the project. MMRDA is executing the Mumbai Metro projects.

MMRDA officials said that any further decision on the Chinese company’s bid will depend on the central government’s stand on the issue.

“The situation is very sensitive right now. The decision to allow a Chinese player will depend on the stand taken by the Government of India as well as the German company which is funding the project,” a senior MMRDA official, who did not wish to be named, said. A German state-hold development bank, KfW, is funding for the rolling stock of Metro 4 and 4A, both under-construction.

Last month, CRRC Corporation Ltd and another Chinese company – BYD Co Ltd – had shown interest in manufacturing 10 additional rakes for the monorail. However, MMRDA had then terminated the bids stating that it will look for Indian manufacturers following Prime Minister Narendra Modi’s call of ‘Aatma Nirbhar Bharat’ or self-reliant India.

On Friday, HT had reported that the authority is now in talks with three Indian companies for the monorail rakes. The rolling stock for Metro-2A (Dahisar-DN Nagar) and Metro-7 (Dahisar E-Andheri E) is also being procured from Bengaluru-based BEML.

Recently, Nitin Gadkari, Union minister for road and transport, had said that no Chinese company will be allowed to bid for highway projects and even those entering a joint venture with Indian companies will also be banned. The Centre had also banned 59 Chinese apps earlier this week, citing security and privacy concerns.