Texmaco Rail & Engineering (TREL) has announced a new joint venture with Navratna PSU Rail Vikas Nigam (RVNL) to expand its presence in the rail infrastructure sector. Under the agreement, RVNL will hold a 51 per cent stake in the new entity, while Texmaco will own the remaining 49 per cent. The JV is expected to close by December 31, 2025, subject to regulatory approvals.

JV to manufacture and maintain freight and passenger rolling stock

The joint venture company will focus on the manufacturing and maintenance of freight and passenger rolling stock, including locomotives, wagons, coaches, trainsets, metro coaches and specialized equipment.

It will also take part in domestic and international tenders and execute engineering, procurement, and construction (EPC) projects in the railway sector. The company plans to operate and maintain railway workshops, depots, and sheds as part of its business model.

Texmaco invests Rs 49 crore to acquire 49% stake

Texmaco, part of the Adventz Group, will acquire its 49 per cent stake through a cash investment of Rs 49 crore. “The JV will leverage the complementary strengths of both TREL and RVNL to pursue mutually beneficial business opportunities in the railway sector,” the company said in its filing.

Collaboration aligns with Make in India and green mobility initiatives

Adventz Group chairman Saroj Kumar Poddar said the JV will expand India’s capacity to deliver world-class rail infrastructure, as per a PTI report. “It will open doors for innovation, exports and digital technologies, making Indian railways globally competitive while supporting the country’s self-reliance journey,” he said.

According to PTI, Texmaco MD Sudipta Mukherjee said, “We will deliver next-generation freight, passenger and metro systems that advance Atmanirbhar Bharat and put India on the global rail map.” RVNL chairman and managing director Pradeep Gaur said the collaboration supports the government’s Make in India and green mobility push.

Texmaco, headquartered in Kolkata, runs seven manufacturing units across West Bengal, Gujarat and Chhattisgarh. It supplies freight cars to Indian Railways, private clients and overseas buyers, and has joint ventures with global firms such as Wabtec and Touax. 

According to Reuters, Warren Buffett’s BNSF Railway and Canadian Pacific Kansas City each stated this week that they would not pursue near-term mergers, easing fears that Union Pacific’s bid would trigger a broader consolidation spree. Their announcements reduce the likelihood of a domino effect in which other major carriers would seek to join forces in order to compete with a potential coast-to-coast giant.

The Union Pacific-Norfolk proposal, unveiled last month, would create the first U.S. railroad stretching from the Atlantic to the Pacific, transforming freight movement for goods such as automobiles and agricultural commodities. Per Reuters, the deal immediately sparked speculation that CSX, a leading eastern carrier, might align with BNSF or Canadian Pacific to keep pace. That scenario now appears less probable after both railroads dismissed the idea of large-scale mergers.

The U.S. freight rail industry has already contracted to just six major carriers from dozens in past decades. Four dominate the market—two in the west and two in the east—leaving shippers with limited options. The Union Pacific-Norfolk plan would tilt this balance further, which has heightened scrutiny from regulators. The Surface Transportation Board is expected to take 17 to 22 months to review the proposal, Reuters reported.

Canadian Pacific emphasized in a statement that it does not believe additional consolidation is necessary and warned that a transcontinental deal could “trigger permanent restructuring” of the industry. CEO Keith Creel said such a merger would pose “unique and unprecedented risks to customers, rail employees and the broader supply chain.” Instead of pursuing acquisitions, the company has chosen to expand cooperation with other carriers, such as its new collaboration with CSX to enhance service between the U.S. Southeast and Mexico.

BNSF’s decision followed a similar rationale. Backed by Buffett’s Berkshire Hathaway, the company privately met with CSX leadership earlier this month but made clear it would not pursue a merger, according to Reuters. Instead, BNSF recently announced new joint services with CSX, underscoring a preference for partnerships over full consolidation.

The reduced appetite for further mergers leaves Union Pacific facing heightened regulatory risks. If its deal with Norfolk Southern proceeds as the only megamerger under review, oversight agencies could be more concerned about one coast-to-coast operator limiting options for smaller rivals. Norfolk has confirmed that Union Pacific would pay a $2.5 billion cash termination fee if the agreement falls apart under certain conditions.

CSX, meanwhile, has indicated it will continue to explore expanded service offerings to strengthen transcontinental routes, even without a merger partner. The company said its board and management remain committed to enhancing shareholder value through new service agreements like those announced with BNSF.

Source: Reuters

Ontario Tech University’s Faculty of Engineering of Applied Science has signed a Memorandum of Understanding (MOU) with global mobility leader Hitachi Rail to support a first-of-its-kind in Canada, Railway Engineering Specialization program that launches in September.

Signed by Dr. Hossam Kishawy, Dean, Faculty of Engineering and Applied Science and Ziad Rizk, Managing Director, Hitachi Rail Canada, the MOU will help address the growing demand for skilled professionals in Canada’s rail sector and strengthen collaboration between the rail industry and the next generation of Canadian engineers. By combining industry expertise with specialized academic training, this partnership positions Ontario Tech University and Hitachi Rail at the forefront of rail innovation.

The Railway Engineering Specialization will be available to third- and fourth-year students enrolled in Manufacturing, Automotive, Mechatronics and Mechanical Engineering programs. The Specialization will teach students the necessary skills for railway infrastructure development, track design, signalling systems and rolling stock management. 

Hitachi Rail’s 40+ year history in Toronto, with 1,200 employees in Ontario and delivering global transit projects to the busiest networks in the world, is a leader in the mobility sector. Hitachi Rail’s significant railway expertise contributes to the program, by providing student placements, exploring joint research and development opportunities, while supporting course content review and expert guest speaking events.

Quotes

“Ontario Tech is proud to be home to Canada’s only English-language undergraduate Railway Engineering specialization, preparing students with the skills industry needs most—rail electrification, automation, and climate-resilient infrastructure. Our new partnership with Hitachi Rail strengthens this mission, ensuring our students gain exposure to global expertise while helping industry address critical workforce needs.”
– Dr. Hossam Kishawy, Dean, Faculty of Engineering and Applied Science, Ontario Tech University

“This is an exciting opportunity for Hitachi Rail to partner with Ontario Tech University and for the students to leverage experiences from this partnership. Bridging the gap between industry and classroom will shape a workforce trained and ready to meet real-world challenges. We are greatly looking forward to having the chance to contribute to this discipline and provide opportunities for aspiring engineers in the Canadian rail sector.”
– Ziad Rizk, Managing Director, Hitachi Rail Canada

“Ontario has launched the largest transit expansion in North America, and this first-of-its kind railway engineering program will ensure our province has the talent it needs to deliver game-changing rail infrastructure. Our government is investing $70 billion in public transit to expand GO Transit, restore passenger rail service to northern Ontario and build the largest subway expansion in Canadian history, including the Ontario Line subway. Our GO Expansion plan includes the Bowmanville Extension, which will make it easier for post-secondary students to access Ontario Tech University’s campus in Oshawa.”
– Hon. Prabmeet Sarkaria, Ontario Minister of Transportation

“Ontario’s world-class post-secondary education institutions are building a robust engineering workforce of the future. Our government commends this innovative partnership between Ontario Tech and Hitachi Rail, enabling students enrolled in the Railway Engineering Specialization to get the education and hands-on training they need to keep Ontario moving for decades to come.”
– Hon. Nolan Quinn, Ontario Minister of Colleges, Universities, Research Excellence and Security

About Hitachi Rail

Hitachi Rail is committed to driving the sustainable mobility transition and has a clear focus on partnering with customers to rethink mobility. Its mission is to help every passenger, customer and community enjoy the benefits of more connected, seamless and sustainable transport.

With revenues of over €7bn and 1,400 colleagues in North America, and 12,000 around the world, Hitachi Rail is a trusted partner to the world’s best transport organizations. The company’s reach is global, but the business is local – with success built on developing local talent and investing in people and communities. 

Its international capabilities and expertise span every part of the urban, mainline and freight rail ecosystems – from high quality manufacturing and maintenance of rolling stock to secure digital signalling, smart operations and payment systems.

Hitachi Rail, famous for Japan’s iconic high-speed bullet train, draws on the digital and AI expertise of Hitachi Group companies to accelerate innovation and develop new technologies. Hitachi Group is present in 140 countries with over 270,000 employees and global revenues of €58.16 billion / ¥9.7 billion.

For more information, visit hitachirail.com.

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Ontario Tech University and Hitachi Rail Memorandum of Understanding signing ceremony in Toronto, Ontario (August 26, 2025).

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