Alstom-led consortium signs US$792M deal to modernize Egypt’s freight rail corridors
Modernization is expected to improve safety, increase network capacity, enhance operational reliability, and reduce end-to-end travel time by nearly 80 minutes.
EGYPT – Alstom and its Egyptian partners, Rowad Modern Engineering and Concrete Plus, have signed four contracts with Egyptian National Railways, valued at approximately €690 million (approx. US$792 million), to modernize key freight and logistics corridors linking dry ports, industrial zones, and seaports.
The projects cover the 6th of October, the Alexandria railway corridor, and the Belbes,10th of Ramadan line, strengthening rail freight links among the 6th of October Dry Port, Alexandria Seaport, and the 10th of Ramadan industrial zone.
Modernization is expected to improve safety, increase network capacity, enhance operational reliability, and reduce end-to-end travel time by nearly 80 minutes.
Corridor Upgrades and Digital Signaling
The largest package is the 6th of October, Alexandria corridor project, valued at approximately €550 million (US$631 million), of which Alstom’s share is around €240 million (US$275 million).
The contract covers the deployment of digital railway systems, upgraded telecommunications, reinforced power-supply infrastructure, and extensive civil and track rehabilitation works.
The Belbes–10th of Ramadan project, valued at approximately €140 million (US$161 million), includes a similar scope of railway modernization works to improve freight efficiency and logistics connectivity across the eastern industrial corridor.
Alstom will deploy European Train Control System (ETCS) Level 1 signalling, telecommunications systems, upgraded power infrastructure, and advanced operations control systems to enable real-time network management.
Local Partnerships and Content
Rowad Modern Engineering and Concrete Plus will execute technical buildings and mechanical, electrical and plumbing works, as well as civil engineering and track infrastructure upgrades.
The projects are expected to achieve approximately 50% local content by leveraging Egyptian engineering expertise and local supply chains, ensuring that half of their resources are sourced within Egypt.
Direct Statements from Leadership
Martin Vaujour, President of Africa, Middle East and Central Asia at Alstom, said: “These contracts demonstrate our capacity to deliver large-scale, complex signalling programmes, and our determination to be a long-term partner for its most critical mobility infrastructure.“
Ramy Salah, Managing Director of Alstom Egypt, added that the projects will help create vital transport corridors connecting industrial centres, logistics hubs and ports.
Finally, this partnership seeks to transform the nation’s transportation backbone through cutting-edge technology and extensive structural rehabilitation, positioning Egypt as a more competitive player in regional and global trade.
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