Russian company says planning tram production with Iran

Iranian and Russian companies plan to cooperate on tram production, the chief executive of Russia’s rail vehicle producer UKCP has said.

"Two months ago, we were visited by Iranian colleagues; they talked to all producers and came back to us. They want us to produce the bogies, because we do it the best. Later, the Iranian side wrote that they have high interest in cooperation, because their tram and railroad enterprises are combined," Romon Novikov told TASS news agency.

The Ust-Katav Car-Building Plant or UKCP was formerly a subsidiary of Khrunichev State Research and Production Space Center, but became independent in February 2020.

The plant is able to produce tram cars with various track width and power control systems, as well as spare parts and service equipment.

Tehran has already signed a memorandum of understanding with Moscow to provide $1 billion to electrify a 500 km railway route in northern Iran. Russia is supposed to finance the project as part of its $5 billion credit line for infrastructure projects in Iran. 

Iran and Russia have also signed memorandums for cooperation on launch services. Last August, Russia launched an Iranian satellite into orbit from southern Kazakhstan.

They have sought to deepen their ties with the aim of thwarting Western sanctions on both countries.  

On Sunday, Iranian President Seyyed Ebrahim Raeisi stressed the need for Tehran and Moscow to develop “strategic” economic cooperation as he received credentials of Russia’s new ambassador to Tehran.

Ambassador Alexey Dedov said economic relations between Iran and Russia have frustrated the West’s sanctions. One of his priorities, he said, is to push for constant promotion of economic cooperation with Iran.

In July, President Vladimi Putin visited Iran in his first international trip outside the former Soviet Union since the start of the Ukraine war.

The past few months have seen an uptick in efforts by Iranian and Russian institutions to improve commercial and economic cooperation.

ME