Duma backs state support for carriage-builders

May 26, 2015. The State Duma deputies met with members of Carriage-Builder’s Union, a non-profit partnership, to consider the current acute problems of Russian railway carriage-builders, Uralvagonzavod Corporation’s press service reports.

The main factors behind the industry’s crisis are shrinking railway shipments and the fact that worn-out carriages are still used well past their write-off date.

‘It’s time this problem got government’s attention and proposals were drawn up for regulatory bodies and enterprises so that the carriage-building industry could both survive and keep on developing,’ said the First Deputy Chair of State Duma Transport Committee Mikhail Bryachak.

The Union’s Executive Director Vassiliy Varenov pointed to the very small load the carriage-manufacturing plants are handling at the moment (30% to 35% of their full capacity), which might mean a half of them would have to close down or face production cutbacks.

‘We need to provide them with the consolidated annual output of 35,000 to 40,000 carriages. This is the minimum that will keep the industry afloat,’ he said.

Member of Railway Operator Union Andrei Shlensky called for measures that would encourage operators to upgrade their fleets, expand their transport base, and strengthen their market shares.

‘We have the option of stopping the pendulum at its lowest, which is the least painful moment for all the sectors of industry. Carriages are now selling at their all-time low.’

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