Transnet Engineering and Wabtec South Africa have concluded a 10-year technical support agreement to improve the availability of locomotives for rail freight. The contract also provides for skills transfer, job creation and a rise in local manufacturing.

On 15 October 2026, Transnet Engineering, the engineering and manufacturing division of the South African public operator Transnet, signed a material and technical support agreement with Wabtec South Africa, a subsidiary of the American manufacturer Wabtec. With a value of R$6.6 billion, or approximately $400 million, the contract covers Class 43D and 44D diesel locomotives.

These equipments transport raw materials, containers and various goods on the country's freight corridors. The 10-year agreement should improve the availability of rolling stock through better access to spare parts and enhanced technical assistance.

The partnership includes the deployment of a digital locomotive condition monitoring platform (Expert-on-Alert) to detect anomalies and anticipate breakdowns. This predictive maintenance approach will reduce capital assets and improve fleet management.

The scheme also includes part planning, performance monitoring and technical training. These measures are part of Transnet's efforts to restore the reliability of rail freight, whose operational difficulties have affected the transport of goods and the competitiveness of South African exports.

The agreement also includes commitments on employment and industrial development. According to the elements presented at the signing, it provides for the creation of at least 100 jobs and a training programme to accommodate about 20 learners per two-year cycle.

The two partners also intend to strengthen local skills and develop the national manufacturing of certain components. Subcontracting commitments must gradually increase from 7% to 30%, while knowledge transfer must contribute to the development of Transnet Engineering's maintenance and production capabilities.