Railway: ONCF and Hyundai Rotem Strengthen Their Industrial Partnership with a Long-Term Maintenance Contract
Strengthening Cooperation in Moroccan Railways
The National Office of Railways (ONCF) is further solidifying its partnership with the South Korean manufacturer Hyundai Rotem through a new long-term maintenance services contract for the electric multiple units of the Moroccan railway network.
Valued at 748.25 billion won, this agreement was officially announced via a financial statement published on the Korea Exchange. It involves Long Term Service Support (LTSS) services, a framework that extends beyond the mere provision of rolling stock to encompass the maintenance, performance, and availability of trains throughout their entire lifecycle.
A Long-Term Industrial Partnership
Unlike a classic equipment supply contract, this partnership commits Hyundai Rotem to a sustained collaboration with ONCF. The manufacturer will thus be involved in technical oversight, maintenance, and optimization of the electric multiple units intended for the Moroccan network.
This approach marks a significant evolution in the strategy for modernizing the railway sector, where maintenance becomes a crucial lever for operational performance, on par with acquiring new trains.
Towards an ONCF-Hyundai Rotem Joint Venture
A key element of this arrangement still needs to be finalized: the establishment of a joint venture between ONCF and Hyundai Rotem, in accordance with a shareholders’ agreement already reached by both parties. This structure is expected to house the contractual counterpart of the project and define its execution modalities.
The contract duration will be specified once this entity is operational, giving the project a more integrated institutional and industrial dimension.
A Strategic Challenge for the Modernization of Moroccan Railways
For ONCF, this agreement aligns with a broader strategy for modernizing rail transport, where the reliability, safety, and availability of rolling stock are major priorities.
Amidst an expanding network and the rise of sustainable mobility, long-term maintenance becomes a crucial factor determining service quality for users.
Hyundai Rotem Strengthens Its Presence in Morocco
For its part, Hyundai Rotem is reinforcing its position in the Moroccan rail market through a contract with high industrial value. The South Korean group, specializing in rolling stock and transport equipment, is thus engaging in a sustainable partnership dynamic with the Kingdom.
This type of cooperation paves the way for comprehensive support throughout the lifecycle of the units, potentially including skills transfer and the local structuring of technical services.
A Cooperation Set to Further Structurize
The actual scope of this partnership will depend on the finalization of the joint venture and the precise definition of its intervention parameters. This step will be crucial in assessing the extent of collaboration between ONCF and Hyundai Rotem, particularly concerning maintenance, industrial expertise, and the local anchoring of rail services.
