Caterpillar has entered into a joint venture with Uralvagonzavod (UVZ) to assemble the SD70Ace locomotive. UVZ is a major producer of railcars and tanks in Russia.

The joint venture has already designed a suitable locomotive model. The specific model will be able to adapt to Russia’s climate and will operate on LNG. The prototype was presented in Muncie, Indiana at the facility of Caterpillar’s subsidiary Electro-Motive Diesel. The Russian Association of Railway Equipment Manufacturers sent a delegation to the United States in July to preview the new locomotive.

The two companies also have plans to launch jointly an engineering center in Russia. UVZ has confirmed that negotiations regarding the second joint venture are in progress with Caterpillar. The location for the facility will be at the Chelyabinsk Tractor Plant, which belongs to UVZ. The stakes of each company in their joint enterprise have not yet been decided.

The plans for constructing the SD70Ace locomotive in Russia were announced last year. The project’s main goal is to produce train engines for heavy hauls. It is expected that companies from the Russian mining industry will find the new locomotives particularly valuable for transporting their loads.