CG Power Wins Major ₹450 Crore Railway Deal for Vande Bharat Trainsets

13 Mar 2025 , 10:20 AM

CG Power and Industrial Solutions Ltd (CG), Mumbai, has bagged a large contract for the supply of their Core IP for use in Kinet Railway Solutions Limited. The order is for supply and servicing of railway products for manufacturing of 10 Vande Bharat trainsets. The contract encompasses propulsion kits, motors, transformers and other key components needed for the development of the trainsets.

The first purchase order for these railway products is worth around ₹400 crore to ₹450 crore. Apart from the supply order, CG Power has signed a long-term service agreement lasting 35 years as part of the railway domain commitment.

A powerhouse in the railway industry, CG Power has been at the fore of traction machines, propulsion systems and railway signalling products for over 86 years. Recently, the company ventured into Train Collision Avoidance System (TCAS the KAVACH), further fortifying the root in railway safety tech.

CG Power belongs to the Murugappa Group since November 2020, which has its business interest in the fields of agriculture, engineering and financial services. The company manufactures traction motors, propulsion systems and railway signalling relays, and is a key supplier to industries and the power sector. CG Power have 18 manufacturing plants in India and Sweden and employs around 3,113 people. For FY24, the company recorded consolidated revenues of ₹8,046 crore (around USD 964 million).