China Railway to spend $8.2b on trains

State-owned China Railway will spend US$8.2 billion in a large-scale purchase of trains to meet growing transportation demands, Bloomberg reported, citing a Xinhua report. Newly formed China Railway, which took over train operations from the dismantled Ministry of Railways in March, will buy locomotives, bullet trains and rolling stock. China’s government pledged last month to speed up rail investment, especially in the nation’s central and western regions. The purchases will benefit CSR Corporation (601766.SHA) and China CNR (601299.SHA), the country’s two biggest train makers.