China: In its financial statements, the world’s leading manufacturer from China reports having invested over RMB 14.3 bln (about $2 bln) in R&D projects in 2023.
This represents 6.3% of total sales (RMB 234.3 bln or $32.4 bln, +5.1% compared to 2022) and is the highest R&D investment in the last five years, both in absolute terms and relative to sales. The company’s R&D investment between 2019 and 2022 grew from 5.2% to 6.0% per year.
According to the statements, in 2023, CRRC boasted a formidable R&D team of 19,000 employees, comprising over 12% of its total personnel. With 11 national-level scientific centres, 22 technology centres at its sites and 16 domestic and 18 foreign research centres, CRRC has the infrastructure to undertake about 420 research projects dedicated to rolling stock and its components in 2023. Its key projects include a high-speed train that can reach a speed of 450 km/h, an A-series commuter train that operates at 120 km/h, a new generation of CINOVA2.0 regional EMUs, a hydrogen urban train and other innovative projects.
Despite all the opposition in the EU and the US, the Chinese train builder signed contracts worth RMB 298.6 bln ($41.3 bln) in 2023, of which 20% were exports. By the end of the year, the company had a backlog of orders valued at RMB 270.3 bln ($37.4 bln), of which 42% were foreign contracts. The data shows that in 2023, 38.4% of the revenues came from the Chinese national operator China Railway and its subsidiaries.
CRRC’s priority goals are to expand rolling stock maintenance and tram, maglev and monorail development, and to start serial production and standardisation of key components.
