CPKC, Grupo México Present Proposals for Passenger Trains

During the morning press conference on Feb. 1, President Andrés Manuel López Obrador unveiled that Canadian Pacific Kansas City (CPKC) has already submitted a proposal for a passenger train line that would connect Mexico City and Queretaro, and can be extended to Nuevo Leon and Tamaulipas.

López Obrador reveals that CPKC is actively conducting a study outlining the feasibility of providing passenger train services, which is set to be finished by May. The Mexican government welcomes CPKC's proposal, especially given the company's extensive experience operating freight and passenger trains in the United States and Canada.

On Nov. 20, López Obrador introduced a decree that aimed to modernize Mexican railways and adapt them to provide passenger services through three potential scenarios. The first involves direct government involvement through a federal agency or a public enterprise managing the project and using the existing freight rail tracks. The second allows for a hybrid approach, where some lines are operated directly by a public entity while others are concessioned to private entities. The third option extends new concessions to existing freight train operators, provided they present viable passenger train proposals. Through the decree, the government aims to modernize 17,484km of railway infrastructure and adapt the tracks for passenger services, designating them as a priority for national development.

MBN previously reported that Keith Creel, CEO, CPKC, expressed confidence in Mexico's passenger train decree that it would not negatively impact the company's objectives and multi-year guidance.

The Mexican Chamber of Construction Industry (CMIC) in Queretaro wants to collaborate on a Mexico City-Queretaro passenger train project, says Oscar Hale, President, CMIC, to Milenio."It is intended that it will not be a fast train as initially planned, but rather one that travels around 120 to 130 k/h. We would approach [CPKC] to make some proposals," says Hale.

Grupo México

Grupo México is also exploring the potential impact of the passenger train initiative, reports La Jornada. The company has submitted the first letter of intent to the Mexican government expressing its interest in the provision of passenger services, says Fernando López, Director General, Grupo México Transportes.

Revista Transporte y Turismo shares that the company is engaging in security and environmental impact studies, negotiating with the government, and working to ensure that the introduction of passenger trains does not compromise the capacity of existing cargo trains.

On Jan. 16, through a press release, the Ministry of Infrastructure, Communication, and Transportation (SICT) announced that it had received five proposals from interested parties without disclosing all interested companies. On Jan. 18, Minister of Infrastructure Jorge Nuño disclosed that some companies expressing interest in the project are CPKC and Ferrosur, a subsidiary of Grupo México. Their proposals cover the Bajio-central area, specifically routes from Mexico-Queretaro, Queretaro-Leon, Leon-Aguascalientes, and Queretaro-San Luis Potosi, says Nuño. A connection to Guadalajara was also mentioned.