Greenwire: California and General Electric Co. have signed cooperation agreements to use Chinese technology and equipment for the construction of high-speed rail lines in California. The preliminary agreements are a step forward for China, which intends to become one of the world’s leading exporters of high-speed rail technology.
“We are the most advanced in many fields, and we are willing to share with the United States,” said Zheng Jian, chief planner and high-speed rail director at China’s railway ministry.
Other countries that have approached California’s High Speed Rail Authority include Japan, Germany, South Korea, Spain, France and Italy. Though other countries have been in the game longer and are better-known for high technology, China has caught up quickly, experts say.
“These guys are engineering driven — they know how to build fast, build cheaply and do a good job,” said John Scales, lead transport specialist in the World Bank’s Beijing office.
Though the California agency has not formally chosen its technology provider, there were no apparent problems with China’s offer, said David Crane, Gov. Arnold Schwarzenegger’s special adviser for jobs and economic growth. The Republican governor wants to visit China this year to discuss high-speed rail development, Crane said.
Under the terms of the agreement, China would license its technology to GE, which would oversee some U.S. manufacturing operations. At least 80 percent of certain components would be required to come from American suppliers, and American workers would do final assembly in the United States. China may also provide financing for the project.
“They’ve got a lot of capital, and they’re willing to provide a lot of capital,” Crane said (Keith Bradsher, New York Times, April 7). – GN