U.S. and Egypt Sign $235 Million Contracts to Modernize railway infrastructure

The U.S. Embassy in Cairo is pleased to announce the signing of three significant contracts between Progress Rail, a U.S. company, and Egyptian National Railways. The contracts, valued at over $235 million, will support the supply and service of locomotives, marking a major milestone in U.S.-Egyptian business cooperation and creating jobs. The signing ceremony took place on Wednesday, April 9, 2025, at the Ministry of Transportation in the New Administrative Capital.

The contracts include the modernization of 1,000 diesel electric locomotives valued at $185 million, a 15-year agreement to supply parts for 141 locomotives worth $42 million, and a five-year technical assistance services contract for 141 diesel electric locomotives valued at $5 million, with an option to extend for an additional five years. In her remarks, Ambassador Herro Mustafa Garg expressed her enthusiasm for the partnership, stating, “I am thrilled to witness the signing of these contracts, which bring mutual prosperity to Egypt and the United States. The United States is proud to be part of the expanding railway infrastructure in Egypt, and our companies look forward to playing a significant role in supporting railway infrastructure expansion, which is crucial for driving economic growth and stability in the region.