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Reading: Belgium train operator grants Spain’s CAF €3.4b contract
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Global Newsphere > Business > Belgium train operator grants Spain’s CAF €3.4b contract
Belgium train operator grants Spain’s CAF €3.4b contract
Business

Belgium train operator grants Spain’s CAF €3.4b contract

July 25, 2025 4 Min Read
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by Olivier Acuña Barba •Published: July 23, 2025•15:33•2 minutes read

Spanish train builders were given the opportunity to update and expand the Belgian train fleet. Credit: Ottignies©SNCB

Spanish train maker CAF surpasses all other competitors, winning a 3.4 billion euro contract and constructing hundreds of trains to renew the Belgian railway fleet, Belgian National Railway Company (SNBC) said in a press release Wednesday. Local trade unions are interested in domestic employment, so no decisions have been passed without controversy.

SNBC aims to update at least half its fleet by 2023, according to a press release, and increase it to meet the increased demand for passengers as much as possible.

“The 2023-2032 Public Services Agreement was concluded with the Belgium in December 2022, and therefore 50% of the SNCB fleet will be renewed by the end of this period.

CAF can deliver time and points

CAF outperforms the other two bid finalists as they believe that Belgian companies are top priority for the country and therefore can deliver new railcars on time.

“The board has approved the criteria for selection and awards and called for Europe to bid for a framework agreement for the delivery of new railcars, including 54,000 seats as part of the initial order,” the company added.

They explained that all new trains must provide all the comfort they need for passengers, including reduced mobility, quiet zones, information screens, connectivity and autonomous accessibility to people with ample space for bicycles.

“Orders also include battery-powered trains intended to ultimately replace current diesel rail cars,” SNBC said.

See also  Alarm: Spanish takeover battle sparks fears of financial quake across Europe – BBVA’s bold bid to buy Sabadell in Spain is ‘concerning’

One of the requirements of the bidding rules called for manufacturers to mention the use of local service providers.

The board has directed that, in preparation for the final award decision, it would require confirmation from the CAF that its activities are in compliance with international law and human rights as part of its ongoing discussion with priority bidders.

Wednesday’s confirmation follows the Belgian Council temporarily suspending NMBS’ decision in February 2025 to appoint CAF as a top-ranked bidder. It has been reported.

Causing controversy

In response, the NMB reevaluated its decision and issued a new justification in line with the council’s decision. The company says it has already determined that the original rankings of bidders, CAF, Siemens and Alstom, will not change following further legal and technical analysis.

The Belgian news agency also said the decision to award the CAF a contract sparked controversy in Belgium.

“Unions and local politicians have criticised the removal of French manufacturer Alstom, warning that this could put the future of the Bruges factory, which employs hundreds of people,” they said. “Critics argue that SNBC’s decision failed to prioritize domestic employment.”

Negotiations are underway with the CAF, and the SNBC Board has assured that it will formally confirm with the Spanish company that its operations will not affect local employment.

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