Texmaco, Touax, TrinityRail join hands to build India's first global rail leasing platform; target 100 railway rakes

Kolkata-based Texmaco Rail & Engineering Ltd, global rail leasing company Touax Group, and US-headquartered TrinityRail Global Inc. have entered into a strategic three-way partnership to strengthen India's rail freight ecosystem by creating an integrated railcar leasing platform.

As part of the agreement, TrinityRail Global will acquire a proposed 32% equity stake in Touax Texmaco Railcar Leasing Pvt. Ltd. (TTRL), the existing joint venture between Touax Group and Texmaco Rail, which currently hold 34% each. The companies said the expanded partnership will combine expertise in wagon manufacturing, leasing, financing, engineering, maintenance and lifecycle management to support India's growing freight rail market.

The partners also announced plans to invest in 100 new railway rakes over the next 3-5 years.

Speaking at a media briefing, Saroj Kumar Poddar, Chairman of Texmaco Rail & Engineering, said the partnership brings together three complementary strengths - manufacturing, leasing and engineering - to offer end-to-end rail mobility solutions for India. He said the venture aligns with the government's ambition to significantly increase rail's share in freight transportation and will help develop modern wagon designs, maintenance capabilities and financing solutions within the country.

"The idea of this joint venture is to offer integrated rail solutions encompassing design, manufacturing, financing, leasing, maintenance and lifecycle engineering," Poddar said, adding that Indian Railways is increasingly looking for manufacturers capable of not only supplying wagons but also maintaining them throughout their lifecycle.

Patrick Hurst, Senior Vice President, Risk & Investment Portfolio at TrinityRail, said the US railcar manufacturer plans to replicate its integrated North American business model in India. TrinityRail currently manages a fleet of nearly 150,000 railcars, serves customers across hundreds of commodity categories and has financed more than $15 billion in debt transactions over the years.

Hurst said the Indian partnership will leverage TrinityRail's expertise in wagon design, maintenance, telemetry technology and lifecycle optimisation while adapting products to local market requirements instead of simply importing global solutions. He added that reducing the total cost of ownership through better engineering and maintenance would be central to the venture's strategy.

Highlighting the opportunity in India, Fabrice Walewski, General Partner & CEO of Touax Group, said the country is entering the next phase of rail freight expansion as it seeks to increase rail's share in cargo transportation from about 28% to 44-45%.

According to Walewski, achieving this target will require thousands of additional freight wagons and significantly greater private investment in rolling stock. The consortium's initial commitment to finance 100 railway rakes marks the beginning of that expansion, with the platform expected to provide flexible leasing options alongside new wagon technologies.

Walewski also noted that rail leasing remains underpenetrated in India compared with developed markets. While leasing accounts for a majority of commercial aircraft and a significant share of shipping containers globally, the model has only a limited presence in India's freight wagon industry. He said expanding leasing could help customers deploy capital more efficiently while accelerating fleet modernisation.

Responding to questions on the venture's roadmap, Hurst said TrinityRail does not intend to establish manufacturing facilities in India. Instead, it will contribute engineering expertise and technology through Texmaco's manufacturing base and the companies' existing Global Capability Centre, while focusing on developing advanced wagon designs tailored to Indian operating conditions.

The companies believe the partnership is well positioned to benefit from India's long-term rail infrastructure push, dedicated freight corridors and policy measures encouraging greater private participation in rail logistics and wagon financing.