Yeah; America no longer likes to buy its infrastructure from China. But that’s a bit hard to avoid when hundreds of millions of dollars have been spent; ripping up the contract isn’t an option. But who wouldn’t want to build the metro trains for Beverly Hills?
Back in April 2017, Los Angels (LA) Metro and the China Railway Rolling Stock Corporation (CRRC) signed a framework agreement worth US$647 million for the supply of 282 metro cars. More recently, a metro car mock up was presented in November 2019, leading to the widely-reported, recent unveiling of the finished product.
The first batch of the CRRC-built trains shall replace those on Los Angeles’ aging Red (or B) Line and are scheduled for delivery later this month. In all, 64 cars, with a value of US$178 million, will first see service on the LA Metro.
Later, more trains are to be utilised on the city’s “Purple (D Line) Extension Transit Project”.
The LA Metro website reveals that the Project is a critical, highly-anticipated new addition which will add to the system seven new stations and a reliable, high-speed connection between downtown and the Westside, the region’s second-largest employment centre.
As well as going through Hollywood, the three-phase development will also ultimately provide a metro link for the 2028 Los Angeles Olympics.
Great. But whatever happened to Buy America?
A lesser-known fact is that CRRC maintains a manufacturing facility in the US, in Springfield, Massachusetts.
And it is this which permits China to be a supplier to the LA Metro under “Buy America”.
It’s a combination of this manufacturing facility, the fact the contract was signed before this latest version of Buy America was enacted and the waivers thereto.
As the US’ Federal Transit Administration (FTA) reveals on its website, “Under limited circumstances, FTA may waive Buy America requirements if the agency finds that: application of Buy America is inconsistent with the public interest; the steel, iron and goods produced in the US are not produced in a sufficient and reasonably available amount or are not of a satisfactory quality; including domestic material will increase the cost of the overall project by more than 25 percent for rolling stock”.
Hence it was that production of the trains’ exterior shells took place in China at CRRC Changchun, with final assembly in Springfield. CRRC also plans to service its obligations in LA courtesy of a new facility planned for the area. As part of an upgrade to the Division 20 Rail Yard in the city’s downtown Arts District, the facility will manufacture some of the subsequent trains’ components
All in all, this puts the partly China-made cars for the LA Metro in a secure position. And elsewhere in the US, possibly.
Attending the recent unveiling was the Mayor of Springfield, Domenic Sarno, who congratulated CRRC for its continuous trust and support in Springfield, reports Railway Pro. “CRRC has trained many qualified employees. The vehicles manufactured in the Springfield plant will be used in more cities in the US,” Sarno said.
So standby Hollywood and America; China has its sights set on dominating not only your movie industry, but your metro systems too.
