Wednesday, April 10, 2019

We're Calling for an Investigation into Chicago Rail Deal with China SOE

By Michael Stumo

CPA Seeks Review of Chicago Transit Authority Railcar Purchase
Contract with Chinese firm may flout Buy America Act

The Coalition for a Prosperous America (CPA) has formally requested that the Federal Transit Administration (FTA) review the Chicago Transit Authority’s (CTA’s) $1.3 billion contract with CSR Sifang, a company owned by the Chinese government. CTA’s purchase of 846 commuter railcars from CSR Sifang may not comply with the Buy America Act of 1982 and thus may be ineligible for federal funding.

“U.S. manufacturers are already struggling to compete against heavily subsidized production from companies owned by the Chinese government,” said CPA Chair Dan DiMicco. “Despite this, the City of Chicago has chosen to move ahead with a project that may not contain enough American-made content to meet Buy America requirements necessary for federal funding. This is particularly unfortunate for many manufacturers in the supply chain in the Chicago area.” [more...]

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