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Oct 14, 2014

Memorandum of Cooperation on high-speed rail signed between Russian Transport Ministry, Russian Railways, China's State Committee for Development and Reform, and Chinese Railways

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A Memorandum on Cooperation on high-speed rail has been signed between the Ministry of Transport of the Russian Federation, the Open Joint Stock Company Russian Railways, China's State Committee for Development and Reform and the corporation Chinese Railways.

The document was signed on 13 October 2014 at the Government House of the Russian Federation in the presence of Russian Prime Minister Dmitry Medvedev by Russian Transport Minister Maxim Sokolov, the President of Russian Railways Vladimir Yakunin, the CEO of Chinese Railways Sheng Guangzu and the Chairman of China's Committee for Development and Reform Xu Shaoshi.

The purpose of the document is to develop a Eurasian Moscow - Beijing high-speed transport corridor, including a priority project for a high-speed railway line between Moscow - Kazan.

In the framework of the memorandum, the parties plan to interact within their competence to implement unified planning and coordination, while the companies will work together and develop a strategic partnership and cooperation in the field of high-speed rail, including cooperation on design, construction work, maintenance, equipment supplies, investment and project financing.

The document states that the Chinese side is willing to consider participating in the project under a public-private partnership, participate in the project's equity financing, both by investing in the equity and the debt financing. On implementing the project, the Chinese side may also offer to supply the appropriate technologies and localisation of the rolling stock and components on the territory of the Russian Federation.

Russia is ready to consider the use of Chinese technology in the field of high-speed rail, construction and manufacturing equipment.

The memorandum came into effect from the date of its signing.

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