China CNR Corp. stocks climb on Bangladesh order
BEIJING, April 5 (Xinhua) -- Shares of China CNR Corp., the country's second-largest train maker, gained after media reported that Bangladesh will purchase key high-speed rail technologies from the company's subsidiary.
As of 11 a.m., the company's stocks had climbed 0.97 percent to 4.15 yuan (0.66 U.S. dollars) per share on the Shanghai Stock Exchange.
China CNR Corp.'s Dalian Electric Traction Research and Development Center will export traction inverters and network control systems to Bangladesh, according to the reports. This will be the first time for China to export its own traction and network control systems, which are key technologies of such trains, according to a Beijing Times article.
The contract contains 20 sets of high-speed rail network control systems, 40 sets of traction inverters and 40 sets of auxiliary inverters, the newspaper said without mentioning how much the contract is worth.
China CNR is scheduled to release its financial report on April 28. It said in January that it expected to see its net profit surge over 50 percent in 2011 from a year earlier, on China's booming railway and metro construction.
The profit estimate came despite the company's recall of a raft of trains after a deadly accident last summer.
On July 23 of 2011, a high-speed train slammed into a stalled train near the city of Wenzhou in the eastern province of Zhejiang, leaving 40 dead and 172 injured.
The company recalled 54 trains it supplied for the high-speed rail between Beijing and Shanghai three weeks later. All the trains resumed service in December after modifications and repeated tests, according to the Ministry of Railways.