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Sapsan train at the Leningradsky railway station in Moscow. archive photo

Court of Appeal upholds Siemens’ obligation to supply RZD 13 “Sapsanov”

MOSCOW, April 25 – RIA Novosti. In the case of Russian Railways (RZhD), the Ninth Court of Arbitration found unlawful refusal of Siemens Mobility to fulfill 13 Sapsan high-speed electric train supply contracts, and its German subsidiary Siemens is obliged to fulfill this contract from 7 June 2019.

As can be seen from the information in the arbitration cases file, the Supreme Court dismissed Siemens Mobility’s complaint against the Moscow Arbitration Court’s decision, which was adopted in February and then entered into force.

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In June 2019, a contract was signed with Russian Railways for the purchase and maintenance of new Sapsan vehicles. In the statement made by RZD, it is reported that Siemens Mobility and JSC Sinara Group have committed to supply 13 ten-car trains from September 2022 to July 2023. wagon composition over its entire service life (30 years). The cost of an additional maintenance agreement amounted to 583.1 million euros.

At the time the contract was signed, Russian Railways was operating 16 Sapsan high-speed trains. Moscow – St. Petersburg (the number of flights was planned to be increased from 15 to 18 pairs per day, of which nine pairs) and on the Moscow – Nizhny Novgorod (number of flights) sections, new trains were planned to be launched. it was planned to increase from one pair to three pairs per day). However, according to the court order, in October Siemens Mobility sent a notice to Russian Railways to terminate the contract “due to sanctions imposed on Russian legal entities”.

The court, satisfying the claim of Russian Railways, stated that “the sanction legislation of the USA and the EU is contrary to public order and, as a result, should not be applied on the territory of the Russian Federation”, therefore, the accused does not have the right to terminate the contract unilaterally. In addition, the court noted that the restrictive measures, according to the EU’s own statements, “are not subject to application to agreements that have already been concluded and are being implemented”.

As RIA Novosti was told earlier in the press service of Siemens, their concern and structure has decided to withdraw from joint ventures and terminate service contracts for maintenance with Russian Railways from 13 May. The company explained that international sanctions and subsequent requirements made it impossible to further fulfill its contractual obligations to Russian Railways.

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Source: Ria

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