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Chinese, Russian cos out of Haifa-Nazareth light rail project

by Asaf Zagrizak
May 31, 2022
in Business
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Six consortia have handed the pre-qualifying stage of the tender for the Haifa-Nazareth gentle rail undertaking, which is being led by TransIsrael and which is because of be accomplished by 2027. One of many consortia initially consisted of Israeli firm Dan, Chinese language firms CREC and Shenyang, Polish firm PESA, and Italian firm ATM. CREC has, nevertheless, dropped out of the consortium.

Dan has not defined the rationale for the cut up, solely saying, “In a joint resolution and after a number of months it was determined to work individually, and every firm is working in a distinct framework.” Infrastructure business sources testify, nevertheless, that Israeli firms are distancing themselves from Chinese language firms in bidding for infrastructure tasks in Israel. The reason being that the ringing disqualification of Chinese language firms that competed with Egged and Shikun & Binui (TASE: SKBN) for the second stage of the Inexperienced Line and the Purple Line within the Gush Dan gentle rail undertaking led to a reconsideration of the involvement of firms from China.

In response to the declare of the NTA – Metropolitan Mass Transit System Ltd. tenders committee that the bid that it submitted was unrealistically low, the disqualified consortium argued in its attraction in opposition to the choice that the disqualification was motivated by illegitimate concerns, amongst them strain by the US on Israel.

Too early to determine a pattern

Regardless of the true purpose for the disqualification, some Israeli firms are cooling on their relationships with Chinese language companions, though it’s nonetheless too early to know whether or not that is the beginning of a pattern.

There was a change in one other consortium bidding for the Haifa-Nazareth undertaking as nicely. Russian firm transport engineering JSC Transmashholding has determined to go away the consortium consisting of Israeli firm Lesico and two Spanish firms.

The identical Russian firm bid within the tender for the Jerusalem Mild Rail Blue Line in a consortium with Dan, and dropped out of that tender too.

In the meantime, the submission of bids for the Jerusalem tender has once more been postponed. It was initially as a consequence of have gotten underway within the third quarter of 2020, however was delayed. In April, bidding was postponed to the top of June, and it has now been postponed to August 9.

Dan explains the withdrawal of JSC Transmashholding from the Blue Line tender as being because of the struggle in Ukraine. “Due to the continued combating in Ukraine, the Russian firms determined to go away the tender. Dan acceded to their request, and has discovered a number of firms that may exchange the Russian firms that sought to withdraw,” the corporate mentioned in an announcement. “Globes” has realized that considered one of these firms is Korean.

At any charge, the modifications after the top of the pre-qualifying stage are being made potential by the willingness of the tenders committee to attend for the bids till an extra examination of the brand new gamers becoming a member of the tender is carried out.

It’s not uncommon for there to be modifications in consortia at this stage, however the modifications are liable to delay execution of the undertaking, and likewise to hurt competing consortia which have labored on submission of their bids in accordance with the timetable.

TransIsrael acknowledged: “TransIsrael has lower than now obtained any official notification of modifications within the composition of the competing consortia or of a withdrawal.”

The Ministry of Finance acknowledged: “The submission of bids within the Blue Line tender was postponed for plenty of weeks within the gentle of requests from a number of of the bidders.”

Revealed by Globes, Israel enterprise information – en.globes.co.il – on Could 31, 2022.

© Copyright of Globes Writer Itonut (1983) Ltd., 2022.




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Tags: ChinesecosHaifaNazarethLightprojectRailRussian
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