Mexico cancels bullet train deal with China


BEIJING: Mexico has suddenly canceled a $3.75 billion contract to buy bullet trains from China. This is a major blow to the Chinese railway manufacturing industry, which is trying to sell high-speed trains to India and other countries.

Justifying the decision, Mexican president Enrique Pena Nieto said he wanted to avoid “any doubts about the legitimacy and transparency” of the bidding process. The cancellation came within days of the contract being signed on November 3.

Earlier, two other Latin American countries, Brazil and Argentina, postponed their own high-speed rail projects. More info

Author: admin