Toshiba Corp. said Thursday its U.S. subsidiary has won orders worth up to around ¥30 billion to supply key equipment and systems for trains that will be delivered to transit authorities in Washington and Chicago.
The announcement comes as Toshiba International Corp. aims to expand its provision of electrical systems for rolling stock in North America in anticipation of market growth stemming from the need for urban rail and subway system upgrades and the planned introduction of high-speed trains.
The subsidiary's systems will be offered to the Washington Metropolitan Area Transit Authority and Metra in Chicago.
The Washington Metro order was received from Kawasaki Rail Car Inc., the U.S. unit of Kawasaki Heavy Industries Ltd., and covers motors and traction systems, including inverters and gears, for 364 cars Kawasaki will supply.
The contract may be expanded by another 64 cars and includes an option for a maximum of 320 more cars, which would boost the final total to as many as 748 cars.
The Metra order, received from Nippon Sharyo Manufacturing LLC., the U.S. subsidiary of Nippon Sharyo Ltd., covers motors and traction drive systems for 160 double-decker electric passenger cars that Nippon Sharyo and Sumitomo Corp. will supply.
Toshiba International plans to start deliveries of equipment and systems for Metra in October and for the Washington Metro next January.
Toshiba is seeking to boost the overseas sales share of its transportation system business from 40 percent in fiscal 2009 to 70 percent by fiscal 2015. By taking this business to the global level, the company said it aims to achieve annual worldwide sales of more than ¥200 billion in the next five years.