China's two giant train companies CSR and CNR merged: In the news of the Shinhua agency, it was stated that the first draft plan of the country's two major train manufacturers, CSR and CNR, was completed. An official from China's Public Assets, Audit and Management Commission announced that the merger draft plan of CSR and CNR companies has been submitted to the state council.
It was stated that the merger was taking place at the request of the Chinese government, while CSR company will buy all the shares of CNR.
On the other hand, it is stated that the new train production company that will be formed by the merger will be named as "China Railway Vehicles Company" and its total value is expected to be 300 billion yuan (about 50 billion dollars).
It was stated that the planned agreement between the two companies would facilitate China's high-speed rail network and remove competition between companies.
At the beginning of this year, it was announced that 800 billion yuan investments will be made in railway construction, 7 thousand kilometers of railways will be put into service and construction of 64 new projects will begin. This year, 64 of 46 new projects have been approved in China and 14 new rail lines have been put into service.
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