UAE’s national railway network, Etihad Rail has entered into a partnership with the Saudi Railway Company (SAR) to set up a framework to facilitate the exchange of services, training, and knowledge.
The partnership deal between the two entities mainly focuses on four key areas of cooperation including locomotives and wagons lease arrangements, spare parts purchase, special volunteer groups and shared services initiatives.
Shadi Malak, Chief Executive Officer of Etihad Rail, and Dr. Bashar Al Malik, Chief Executive Officer of SAR, signed the strategic agreement during a virtual ceremony attended by officials from both entities.
Commenting on the partnership deal Shadi Malak, CEO of Etihad Rail, stated that, “This strategic agreement is of strategic importance, due to the close ties between the UAE and Saudi Arabia, under the wise and visionary leadership within both countries. Further expanding the close relationship between Etihad Rail and SAR through continuous cooperation, which will shape the future of the rail transport and logistics sector across the GCC region.”
The agreement with SAR is in line with Etihad Rail’s strategic position in the development of the UAE’s logistics and mobility sector. The expertise of UAE’s railway network in operations along with its strong presence in the country’s talent in the company will enhance the transfer of knowledge with its colleagues in Saudi Arabia.
“Such a partnership is nurtured by our nations’ continued cooperation and our mutual vision for the integration of our transportation sectors. This is particularly pertinent for the rail sector, which offers a pivotal role in wider social and economic development. Our partnership with Etihad Rail demonstrates the Saudi Railway Company’s integral role in the development of the Kingdom of Saudi Arabia, working to achieve the targets of Vision 2030 and provide a global logistic service for the Kingdom.”
The partnership will further support identifying future initiatives, like those in the field of technology and procurement, ensuring training curricula are up-to-date, optimal maintenance times and other programs that improve information exchange within the logistics and mobility sector.
In addition, the deal facilitates the leasing of locomotives, the exchange of spare parts, as well as the training of engineers and students in operational processes and the further development of competencies in various technical fields.
Etihad Rail started construction of Stage Two of the UAE’s national railway network in early 2020. The historic project extends from Al Ghuwaifat on the borders of Saudi Arabia to the emirate of Fujairah, on the eastern coast.