ČD Cargo's head Tóth and his profitable acquisition: The company buys ten new TRAXX locomotives

ČD Cargo buys ten new TRAXX M3S locomotives. The supplier will be BombardierTransportation which is currently part of the multinational Alstom Group. The investment is related to the Czech carrier's plans to increase the share of shipments across Europe.

ČD Cargo, led by the Chairman of the Board of Directors, Tomáš Toth, was able to take advantage of the current situation on the vehicle market. This is because currently there is an intensive competition between two leading European manufacturers. The first is the winning Bombardier with TRAXX locomotives. The biggest rival in this case was mainly the German Siemens with the Vectron machine.

Some conclusions can be deduced from the text of the press release. It states that Bombardier has clearly submitted the most economically advantageous offer. According to sources familiar with the market situation, it can be assumed that the price and conditions negotiated by ČD Cargo are truly exceptional. It is not uncommon for these two leading manufacturers to strike each other with underpriced offers. And ČD Cargo could only profit on this condition.

ČD Cargo has had very good experience with TRAXX locomotives so far. The company already uses two 388 TRAXX 3 MS locomotives as part of the trial operation, and another eight locomotives will arrive gradually by the end of March to expand the trial operation. These machines will be deployed during the month of April, and so far only for performances within the Czech Republic. According to the purchase contract, the first ten locomotives of this series were supposed to be approved for operation in all neighboring countries and in Hungary. Now the deadline for their approval has been moved to the 3rd quarter of this year.

In recent years, ČD Cargo has very successfully entered the market in other European countries. In addition to the Czech Republic, it has also expanded to Germany, Poland, Austria, Slovakia and Hungary and the volume of local traffic is growing significantly. This year, the company plans to double the volume of shipments in foreign markets.