Indian Railways has revised its ₹35,000 crore order for Vande Bharat trains with the Indo-Russian joint venture, Kinet Railway Solutions. The updated agreement now involves 80 trainsets, each featuring a larger 24-coach configuration, as opposed to the initially planned 120 trainsets with 16 coaches. Kinet has agreed to these new terms and is waiting for final confirmation from Indian Railways.
Kinet Railway Solutions is a collaboration between India’s Rail Vikas Nigam Ltd (RVNL) and the Russian firms Metrowagonmash and Locomotive Electronic Systems (LES), with ownership shares of 25%, 70%, and 5%, respectively. The new semi-high-speed Vande Bharat trains will be manufactured in Latur, Maharashtra.
The joint venture had secured a manufacturing and maintenance contract for the Vande Bharat trainsets back in April 2023, which also involves upgrading existing government manufacturing units and train depots.
Discussions regarding the modifications to the contract were held, and Kinet is set to produce the 80 trainsets under the same pricing terms. Communication between Kinet and Indian Railways is ongoing, with project work expected to commence shortly, pending final confirmations from the Ministry.
However, changes in design, such as the new train configuration, may delay the rollout of prototypes and final products. Kinet has been allocated the Latur facility and plans to make additional investments there, which will require modifications to accommodate the production of the larger trainsets.
With an average cost estimated at ₹10–15 crore per trainset, Kinet will seek financing from Indian banks for loans and working capital. The first prototypes are anticipated to be ready by December 2025 or mid-2026, reflecting a delay of 3 to 6 months from the initial expected completion date of September 2025.
