Hyundai Rotem secures $487 million train maintenance contract in Morocco

June 19 (UPI) -- South Korea's Hyundai Rotem said Friday that the company has signed a railway maintenance deal in Morocco worth $487 million, building on a major rolling-stock contract in the North African country.

Under the agreement, Hyundai Rotem plans to establish a joint venture with Morocco's national railway operator, ONCF, to oversee the maintenance project over the next 20 years.

Early last year, the Korean firm agreed to supply 440 double-decker electric train cars to Morocco for $1.4 billion ahead of the 2030 FIFA World Cup, which Morocco will co-host with five other countries, including Spain and Portugal.

As part of the maintenance program, Hyundai Rotem is set to provide replacement parts, technical services, and major overhaul services to ensure the long-term reliability of the Moroccan train fleet.

The affiliate of Hyundai Motor Group noted that the project would expand its footprint in Africa, one of the world's fastest-growing rail markets, while helping enhance Morocco's railway infrastructure.

"Through this contract with ONCF, we will strive to contribute to the development of the local railway industry and the enhancement of public transportation," Hyundai Rotem CEO Lee Yong-bae said in a statement.

"We will remain fully committed to the project, from the delivery of the trains to the successful execution of long-term maintenance services," he added.

The share price of Hyundai Rotem declined 2.13% on the Seoul bourse on Friday, while the benchmark KOSPI edged down 0.13%.

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This story was originally published June 19, 2026 at 6:18 AM.