GE Transportation to Provide 300 Locomotive Assemblies to CSR Qishuyan in China

BEIJING — GE Transportation announced it has reached an agreement with CSR Qishuyan Locomotive Co., Ltd. to provide 300 locomotive assemblies for China HXN5 Mainline locomotives produced by CSR Qishuyan with Evolution Series diesel engines.

The agreement helps to sustain close to 1,200 high-tech jobs in the U.S. The announcement was made as part of “GE’s Clean Technology Week in China” activities, the company said.

The agreement follows an order of 300 Evolution Series China Mainline Locomotives originally placed in 2005. According to the agreement, GE Transportation will supply 300 locomotive assemblies that will be manufactured in Erie and Grove City, Pennsylvania, USA and shipped to China. The assemblies contain key components of the diesel engines and locomotive control systems that will be built into Evolution Series China Mainline locomotives assembled in China. The first batch of the locomotive assemblies is scheduled for delivery at the beginning of 2010.

“China has been a vital partner to GE Transportation’s growth for close to 30 years. We are looking forward to building on our mutually beneficial company-to-country partnership,” Lorenzo Simonelli, President and CEO of GE Transportation said.

“GE Transportation’s rail technology is an integral part of China’s sustainable infrastructure development and increases China’s usage of the most fuel-efficient and environmentally friendly locomotives in its fleet,” said Tim Schweikert, President of GE Transportation China. “China’s Ministry of Railways sought a product that would significantly improve hauling capability and running speed on the China Mainline, while at the same time reduce emissions to meet increasingly rigorous environmental requirements. GE’s Evolution Series met those requirements.”

In October 2005, GE Transportation signed an agreement with China’s Ministry of Railways to supply three hundred 6,250-horsepower Evolution Series HXN5 China Mainline Locomotives. Currently, more than one hundred of those 300 Evolution Series HXN5 China Mainline Locomotives assembled in-country by CSR Qishuyan already have been placed in revenue service by the Ministry of Railways in China. Since 2005, GE Transportation realized US$ 1.2 billion in sales by serving the Chinese marketplace.

The locomotive assemblies are based on GE’s Evolution technology, the result of an eight-year, $400- million development effort to produce the most technologically advanced, fuel-efficient and low emissions diesel-electric, heavy-haul locomotive to date.

The Evolution Series fuel savings and reduced emissions performance supports China’s green initiatives. The Evolution Series Locomotive is one of GE’s most prominent ecomaginationSM products. Ecomagination is a GE-wide initiative to help meet customer demand for more energy efficient products.

Close to 3,500 Evolution Locomotives are operating in the United States, Canada, Mexico, Brazil, China, Australia, Kazakhstan, Mongolia and Egypt. Approximately 17,000 GE locomotives, including Evolution Series Locomotives, are in use in more than 50 countries around the world.

GE Transportation’s Evolution Series success story serves as a powerful reminder that free trade and open markets worldwide sustain businesses and employment opportunities in North America and beyond.