Metro Pacific Investments Corp. (MPIC) has tapped Malaysia’s Hartasuma Sdn Bhd to expand and improve its rail business including venturing into other modes of transport like cable car system and the refurbishment of its rolling stocks.
The companies signed the partnership yesterday.
“We look forward to learning from the expertise of Hartasuma’s over 28 years in the rail engineering and transport industries, and to applying these lessons to our operations in the Philippines. There is a lot for us to share,” said Manuel Pangilinan, MPIC chairman.
“This strategic partnership will pave the way for diverse initiatives, including the development of rolling stock refurbishment projects in the Philippines and the exploration of cable car systems for tourism and urban transport. These ventures will not only transform the transportation landscape of the country but will also create a thriving industry that will support economic progress by fostering skill development, creating numerous employment opportunities for Filipinos, and enhancing local manufacturing and supply chain capabilities,” Pangilinan added.
Initially announced by President Marcos in July, the partnership between MPIC and Hartasuma will include an initial P3 billion for the procurement of coaches for the Light Rail Transit-1 line.
“There’s a broader vista that we can explore here, because other modes of transportation are possible. (Hartasuma is) in the business for about 30 years,” Pangilinan said.
“If we’re fortunate, given the opportunity to invest in MRT (Metro Rail Transit)-3, then that will require new cars as well. There will be that partnership on the transportation side.
We’re looking at that not only as a supplier to us in respect of transportation, but new modes of transport. It has built cable cars, monorails in Malaysia, and we’d like to explore that opportunity to upgrade our overall transport network this country,” Pangilinan added, noting that if Hartasuma allows, they may even invest in the company itself.
MPIC is also eyeing to build a “center for rail excellence” in the country, which will help in upskilling and reskilling workers.
“We are very honored to partner with an extremely reputable and established infrastructure player in MPIC. We look to value add our collaboration and assist MPIC in achieving its goals. The construction market in the Philippines is expected to grow by some 7 percent in 2023 following a growth of 12.1 percent in 2022. There is a lot of demand and interest in rail infrastructure projects as the government looks to improve regional connectivity through the development of transport infrastructure. We look forward to participating in some of this growth,” said Sri Ravindran Menon, Hartasuma group executive director.
