ALSTOM SA : Hitachi and Alstom win order to build and maintain High Speed Two trains in Britain

FOR IMMEDIATE RELEASE

Hitachi and Alstom win order to build and maintain High Speed Two trains in Britain

• Major economic boost – thousands of green jobs created and secured to build new generation of 54 high speed trains in North and Midlands, adding £1.1billion GVA during manufacturing to grow and level up the economy
• The contract – worth around £2billion - will be delivered at Hitachi Rail’s new advanced welding facility in Newton Aycliffe, at a new production line at Alstom’s factory in Derby and by a new bogie manufacturing facility at Alstom Crewe
• All-electric fleet will be the fastest train in Europe
  
  

Alstom and Hitachi Rail have today confirmed that the Hitachi-Alstom High Speed (HAH-S) 50/50 joint venture has signed contracts with High Speed Two (HS2) to design, build, and maintain the next generation of very high speed trains for HS2 Phase 1 as part of the £1.97 billion contract, including an initial 12-year train maintenance contract.

The UK’s two leading train manufacturers will deliver Europe’s fastest operational train, capable of operating at maximum speeds of 225mph (360 km/h), significantly reducing journey times for passengers. The fleet will be 100% electric, and be one of the world’s most energy efficient very high speed trains due to the lower train mass per passenger, aerodynamic design, regenerative power and latest energy efficient traction technology.

In a major boost to grow and rebalance the economy, the HAH-S joint venture will manufacture the 54 trains at newly enhanced facilities in County Durham, Derby and Crewe. The award to the British-based firms will protect and create thousands of green jobs and add £157 million GVA to the UK economy for every year of the train building phase.

The new 200m-long, 8-car trains are set to run in Phase 1 of the project between London and Birmingham, and on the existing network, and will dramatically increase capacity and connectivity between towns and cities across the country including Stoke, Crewe, Manchester, Liverpool, Carlisle, Motherwell and Glasgow. They will have a major impact in reducing carbon emissions from transport by encouraging people away from fossil fuelled cars and planes, and onto rail.

Andrew Barr, Group CEO, Hitachi Rail said:

“We are excited to be pioneering the next generation of high speed rail in the UK as part of our joint venture with Alstom. This British-built bullet train will be the fastest in Europe, and I am proud of the role that Hitachi will play in helping to improve mobility in the UK through this project.”

Alstom’s Managing Director, UK & Ireland, Nick Crossfield said:

“HS2 is a once-in-a-generation opportunity to transform Britain by building a sustainable transport system fit for the 21st Century. I am delighted that Alstom’s joint venture with Hitachi Rail has been selected to develop, build and maintain in Britain the next generation of high speed trains.”

British high speed trains
Predominantly UK-designed, the trains will be built, tested and maintained in Britain and will be the most advanced in Europe, supported by decades of experience in very high speed trains around the world. On the new HS2 network, passengers will be able to benefit from very high reliability levels and the latest passenger innovations.

Alstom and Hitachi’s high speed train platform utilises unprecedented levels of smart digital technology. The in-built digital system includes state of art innovative sensors that enable potential faults to be identified and ensuring reliable and seamless passengers’ journeys.

Passengers will be able to access seamless, high capacity wireless internet, digital seat reservations and richer travel information delivered through multiple channels, with the trains future-proofed to accommodate technological advances. Train designers will work with world renowned inclusive design experts to put empathy at the heart of the design, meeting the needs of passengers of all ages and abilities.

Boosting and rebalancing the economy
The award of Britain’s most important train is a major boost to the British economy. Alstom and Hitachi will build the new fleet at their facilities in Newton Aycliffe, Derby and Crewe, supported by a 9,000 strong British workforce and extensive supply chains.

The HS2 rolling stock contract is expected to create and sustain over 2,500 jobs. 505 people will be directly employed by the two companies in the Midlands and the North in the design and manufacturing phase, including 49 apprentices and graduates working on the prestigious programme. The extensive use of UK supply chain means that a further 2,000 indirect jobs are expected to be created elsewhere in the UK economy.

In addition, the train maintenance phase will create over 100 new jobs at Washwood Heath in Birmingham, The contract will provide a launch pad for new investment in education and learning, adding to the existing partnerships with local schools and the 200 apprentices and graduates already employed by the two joint venture companies. The two companies have committed to £5m in research and development spending with UK universities.

As part of the award, Hitachi and Alstom are making new multi-million-pound investments in advanced welding and bogie manufacturing, which will see a major upskilling of the workforce and an expansion in the sophistication of the UK’s train building capability. Analysis undertaken by Oxford Economics found that HAH-S will deliver £1.1 billion GVA to the UK economy during the manufacturing phase alone.

Hitachi Rail recently invested £8.5m in a bespoke welding and painting facilities at its Newton Aycliffe factory, taking its total investment up to £110m. The site, which opened in 2015 and employs around 700 staff, was a major boost for manufacturing in the region and returned train building to the North East. The new welding facility will carry out vehicle body assembly and fit out, before each one is transported to the East Midlands.

Once in Alstom’s factory in Derby, the largest in the UK with 2,000 staff, the trains will be fitted with all remaining components including interiors, electrics, and bogies. The bogies will be made by Alstom at their Crewe facility, first time in 17 years that these high value items have been manufactured in the UK, as part of a new investment by the firm. The welding facility in the North East and bogie production in Crewe represent important upskilling and lasting legacies for the UK.

A dedicated maintenance team will be recruited to deliver a world class service from the new Washwood Heath facility being constructed by HS2 in Birmingham. Alstom’s service centre in Crewe will also become a strategic base for heavy maintenance activity on a significant proportion of the train’s key components and systems. These long-term maintenance operations will deliver opportunities for both regions in terms of job creation and business development for the wider supply chain, including small and medium enterprises. HAH-S will now work with HS2 and with HS2 operator West Coast Partnership to refine the final design of the train, before manufacturing begins in 2025.

Cutting carbon across Britain
Being 100% electric and having the ability to transport over 500 people per journey, ensures the new HS2 fleet is a lower carbon alternative than making the same journey by road or air. This environmental benefit will increase over time as the electricity it draws from the grid becomes increasingly decarbonised in the coming decades.

The lightweight and aerodynamic design, coupled with latest energy efficiency traction technology, ensures that the HS2 fleet will be one of the world’s most energy efficient very high speed trains. The state of the art regenerative braking system improves energy efficiency even further by returning electricity back to the national grid.

ENDS

For more information, please contact:

Will Tanner, Communications Director, UK & Ireland, Alstom
m: +44 7768 031 663
Email: will.tanner@alstomgroup.com

Douglas McIlroy, Head of UK External Affairs, Hitachi Rail
m: +44 7548 238 140
Email: douglas.mcilroy@hitachirail.com


Notes to editors:

• Supporting imagery can be downloaded via here. If unable to download, please contact a representative of Hitachi or Alstom via the details above
• Hitachi Rail and Alstom have formed a joint venture – Hitachi-Alstom High Speed joint venture – to design, build and maintain 54 trains for HS2 Phase 1.
• Alstom’s and Hitachi’s combined UK operations currently employ around 9,000 people that includes train factories in Derby, Newton Aycliffe and Crewe and multiple train overhaul and maintenance sites across England, Scotland and Wales and extensive regional supply chains.
• The partnership between the two UK-based firms is built on an impressive depth of experience delivering high speed trains internationally. Hitachi has pioneered Japan’s world-renowned Shinkansen ‘bullet trains’ while Alstom, famed for its development of the TGV in France, offers a wealth of expertise from its high speed trains operating in 25 countries worldwide (Europe, China and the USA).
• In the UK, Hitachi maintains the country’s only domestic high speed fleet, the Class 395 Javelins, which it built and introduced ahead of the London 2012 Games. The trains, which have run from Ashford to London St Pancras at a top speed of 140mph for almost a decade, are one of the most reliable and popular services in the country.
• HAH-S is an agreement to share HS2 bidding and project information between Hitachi Rail and Alstom in order to build a new fleet for HS2. Hitachi Rail and Alstom remain competitors in all other markets and competitions.
• Alstom acquired Bombardier Transportation in January 2021 including the Derby and Crewe rolling stock facilities.
  
  

About Hitachi Rail
Hitachi Rail is a fully integrated, global provider of rail solutions across rolling stock, signalling, service & maintenance, digital technology and turnkey solutions. With a presence in 38 countries across six continents and over 12,000 employees, our mission is to contribute to society through the continuous development of superior rail transport solutions. We are proud of our global achievements, from our world famous ‘bullet trains’, to our signalling solutions and turnkey projects, state-of-the-art traffic management and digital solutions. Drawing on the wider Hitachi Group’s market-leading technology and research-and-development capabilities, we strive for industry leading innovations and solutions that can deliver value for customers and sustainable railway systems that benefit wider society. For information about Hitachi Rail, visit www.hitachirail.com

About Alstom
Leading societies to a low carbon future, Alstom develops and markets mobility solutions that provide the sustainable foundations for the future of transportation. Alstom’s product portfolio ranges from high speed trains, metros, monorails and trams, to integrated systems, customised services, infrastructure, signalling, and digital mobility solutions. Alstom has 150,000 vehicles in commercial service worldwide. With Bombardier Transportation joining Alstom on January 29, 2021, the enlarged Group’s combined proforma revenue amounts to €14 billion for the 12-month period ended March 31, 2021. Headquartered in France, Alstom is now present in 70 countries and employs more than 70,000 people. www.alstom.com

 

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• Hitachi Alstom Contract Award Media Release - final 091221