Investment in railcar building in Portugal

A consortium of 10 companies led by private operator Medway is investing 82 million euros to develop local freight wagon manufacturing capacity in the Medio Tejo region.

This is reported by the railway magazine Railway Supply with reference to the Railway Gazette.

According to Medway, the initiative will create at least 65 jobs in the area and mitigate the impact of the closure of the Pego coal-fired power plant in Abrantes, which was a major source of traffic for Medway.

Under plans announced in December, the consortium intends to develop the production of so-called “smart cars” with a production carbon footprint no more than half that of conventional designs.

The wagons will be made from recycled materials and the assembly plant will be fully powered by renewable energy sources. The final location for the plant has not yet been confirmed.

In addition to the three business units of the Medway Group, the consortium includes private sector companies Nomad Tech and Evoleo Technologies, four non-profit organizations, including the faculties of the Technical University of Lisbon and the Faculty of Engineering of the University of Porto, the national Institute of Science and Innovation and the national association of the railway industry PIP.

According to Bruno Silva, Medway managing director, the investment “will also allow Portugal railway industry to recover and change the country trade balance by replacing imports with exports.”

PIP CEO Paulo Duarte commented on these offers as “an undeniable opportunity to showcase our industrial manufacturing capabilities combined with innovative technologies and high added value.”

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