@Alstom CEO Henri Poupart-Lafarge presented first model of the eLoco that will be built at upcoming factory in Bihar to Shri @sureshpprabhu pic.twitter.com/BO5QQqJHFe

— Alstom India (@AlstomIndia) March 31, 2017

A long tradition comes to an end. In 2018 Alstom will close its locomotive manufacturing facilities in Belfort. The newest products from Belfort are new power cars for TGV high speed trains (SNCF and ONCF) and the electric locomotives for Kazakhstan.

It is not a secret Alstom has not been able to develop a competing locomotive platform for the European market, a type that could compete with Siemens' Vectron and Bombardier's TRAXX. With the PrimaII it was not possible to attract European customer until now. The production of its predecessor (Prima) ended in 2010 (electrics) and 2012 (diesels).

Does this mean Alstom will not produce locomotives anymore? Of course not. Soon it will start production of the 4-axle H4 machines with center-cab design for the SBB. More orders for this type are being rumored. SNCF Infra and RATP could be interested in these hybrids. Also Alstom was able to fetch a large locomotive contract for the railways in India. The first units of this order will still come from Belfort, so was stated. And don't forget there is still Stendal in Germany, where small scale production takes place of the H3 shunter locomotives.

Alstom today (red: 30.11.2015) signed two major contracts in India for a total amount of more than €3.7 billion (Around €3.5 billion for the locomotives and maintenance, to be booked in the course of 2016. Over €200 million for the electrification, signalling and telecommunications system, to be booked in the current quarter). The first contract for the supply of 800 electric locomotives and associated maintenance, following a letter of award received on 9 November 2015, was signed with Indian Railways in the presence of Arun Jaitley, Finance Minister, Suresh Prabhakar Prabhu, Minister of Railways, Nirmala Sitharaman, Minister of State for Commerce and Industry, Manoj Sinha, Minister of State for Railways, Henri Poupart-Lafarge, Executive Vice President of Alstom, Dominique Pouliquen, Senior Vice President for Alstom Asia Pacific and Bharat Salhotra, Managing Director of Alstom India and South Asia. The second contract was signed with DFCCIL (Dedicated Freight Corridor Corporation of India Ltd.) and relates to the electrification, signalling and telecommunications system for a part of the eastern Dedicated Freight Corridor (DFC).

"We are pleased to sign today these contracts which will play a crucial role in boosting India’s economy and infrastructure development while supporting the strong growth of Indian Railways. At Alstom, we are committed to addressing the ever-growing market in India by expanding our local footprint and bringing technological expertise and know-how to the country" said Dominique Pouliquen.

The first contract will supply Indian Railways with 800 electric locomotives and associated long-term maintenance (13 years for the first 250 locomotives and 4 years for the following 250). The locomotives belong to Alstom’s Prima range. They will be 9,000 kW at the wheel rim and will run at speeds of up to 120 km/h. Alstom will invest around €200 million in the project, which will be executed by a recently formed JV in which Alstom and Indian Railways respectively hold a 74% and 26% stake. The scope of the project includes the set-up of a manufacturing plant at Madhepura (Bihar state) where most of the locomotives will be assembled. The delivery of the locomotives will take place between 2018 and 2028. The project also includes the set-up of two maintenance depots at Saharanpur (Uttar Pradesh state) and Nagpur (Maharashtra state).

The second contract, worth over €200 million, will provide the electrification, signalling and telecommunications system for the 343-kilometre-long eastern portion of the Dedicated Freight Corridor, a major government-led project to build eastern and western freight corridors across the country, expected to be completed by 2019. As part of the contract, Alstom will also build the stations and provide the control centre.

Both projects will allow faster, safer and heavier freight trains to move across the country, thereby reducing congestion for passenger train services and freight. They will be handled by Alstom in India with the support of Alstom’s sites expertise in France.

Alstom has several sites in India including a signalling, telecoms and train engineering unit in Bangalore, a metro manufacturing facility in Sri City and a traction systems manufacturing unit in Coimbatore. Alstom has strong references in India in the urban segment for cities like Delhi, Bangalore, Jaipur, Chennai, Kochi and Lucknow.

Alstom has received a Letter of Award[1] from the Ministry of Railways to supply Indian Railways with 800 double section freight electric locomotives with associated long-term maintenance[2]. The total contract is worth above €3 billion. This project includes the set-up of a plant at Madhepura (Bihar state) and two maintenance depots at Saharanpur (Uttar Pradesh state) and Nagpur (Maharashtra state). The delivery of the locomotives will spread between 2018 and 2028.

This project, one of the strongest endorsements of the ‘Make in India’ policy of the government, will play a crucial role in boosting the infrastructure development in the country. The 100% Foreign Direct Investment in the railway sector allowed by the Government has provided a renewed push to the Indian mainline railway sector.

“This project, one of the biggest in Alstom’s history, is a breakthrough for our presence in India and demonstrates the success of our global customer proximity strategy. We are extremely proud to be partnering with Indian Railways for this ambitious project which will be a game changer for Indian railway sector” declared Henri Poupart-Lafarge, Executive Vice President, Alstom.

The Prima locomotive for Indian Railways will be 9,000 kW at the wheel rim and will run at a speed up to 120 km/h. This contract positions Alstom as the number one on heavy-haul electric locomotives segment with now over 1,200 double locomotives ordered for the last decade.

Alstom has several sites in India including a signalling, telecoms and train engineering unit in Bangalore, a metro manufacturing facility in Sri City and a traction systems manufacturing unit in Coimbatore. Alstom has strong references in India in the urban segment for cities like Delhi, Bangalore, Jaipur, Chennai, Kochi and Lucknow.

GE got the diesel locomotive contract
The statement of Alstom follows one day after US manufacturer General Electric (GE) announced it 2.6 billion dollar deal to supply 1.000 diesel locomotives to India. GE will invest 200 million dollar in building a new factory in the Marhowra district. From there it will deliver 100 locomotives each year, for a period of ten years.

GE wil built two models: a 4.500 hp and a 6.000 hp diesel-electric freight locomotive, both with GE Evolution engines. The first units are scheduled to be delivered in January 2018. The first 100 locomotives will be imported turnkey or assembled in India using imported kits, the rest must be built in India with mostly Indian content.

Both deals are made possible because the Indian government has allowed 'foreign direct investments' (FDI) in the country to spur growth in domestic manufacturing.

The complete Alstom press statement
The official statement of General Electric here.