EMD and Barloworld form African locomotive joint venture

Diesel motive power and operations in Southern Africa
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EMD and Barloworld form African locomotive joint venture

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EMD and Barloworld form African locomotive joint venture

Railway Gazette 02 July 2012

SOUTH AFRICA: Electro-Motive Diesel and plant, automotive and handling product distributor Barloworld have formed Electro-Motive Diesel Africa, a joint venture which will assemble locomotives in South Africa for the wider southern African market.

'Africa is an important market for us and the joint venture with an established company, like Barloworld in southern Africa, will position us well to support the needs of existing and new customers in South Africa and the region', said Billy Ainsworth, Chief Executive of EMD's parent company Progress Rail. 'Our commitment to support the customer base and build a customer-focused business that will increase local procurement of parts is a key objective.'
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Re: EMD and Barloworld form African locomotive joint venture

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EMD LOCOS TO BE BUILT IN SA

On July 31, 2012 Railways Africa

Following the recently announced joint venture agreement between the Barloworld group and Progress Rail Services – principal of Electro-Motive Diesel (EMD) – it is expected that local manufacture of EMD locos will start, once a suitable plant has been established. The process will involve substantial investment in the country by the American concern, and will feature a high percentage of local content. It is anticipated that newly built units will be exported to other countries on the African continent.

Founded in 1922, Electro-Motive Diesel is headquartered in LaGrange, Illinois, with additional facilities in Canada, situated at London, Ontario. EMD designs, manufactures and sells diesel-electric locomotives for all rail applications and has sold products in more than 73 countries worldwide. More than 70,000 engines have been produced by the company.

EMD JOINT VENTURE WITH BARLOWORLD

On July 31, 2012 Railways Africa

Electro-Motive Diesel (EMD), a subsidiary of US-based Progress Rail Services – a member of the Caterpillar group – has launched a joint venture with prominent South African industrial conglomerate Barloworld. Named Electro-Motive Diesel Africa, it will provide locomotives as well as railway products and services, and offer access to “advanced diesel and emissions technology”.

Caterpillar bought Progress Rail Services in 2006, and four years later acquired EMD. Barloworld is the Caterpillar group’s official dealer for Southern Africa. The new EMD Africa has appointed Sibani Mngomezulu as CEO, previously Barloworld equipment division executive director responsible for risk and strategy.
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