Japan exports railway technology to Dominican Republic

Friday, February 23, 2024

The Japanese Government is actively supporting a group of Japanese companies in their efforts to export their underground railway technology to the Dominican Republic. This initiative is part of a larger project to develop an underground metro system within the country.

A briefing by Japan’s Ministry of Economy, Trade and Industry (METI) to the Dominican government is scheduled for today, aimed at discussing the costs and benefits of adopting Japanese subway technology for the proposed metro system. Additionally, METI has proposed providing yen loans to facilitate the acquisition of Japanese railway cars by the Dominican Republic.

The aim behind this venture is to enhance the existing metro infrastructure in Santo Domingo, the capital of the Dominican Republic, with the project’s cost projected to exceed $660 million. Japan’s railway technology, particularly noted for its magnetic propulsion system, stands out for enabling the design of compact car bodies and reducing installation expenses, presenting a cost-effective solution compared to other technologies.

The bid for this project is expected to attract global competitors, including significant players from Germany and France, namely Siemens and Alstom. Among the Japanese contenders, Kawasaki Heavy Industries and Hitachi are considered to be leading candidates.

This international bidding process is seen as more than just a commercial endeavor; it also represents a potential shift in geopolitical dynamics, especially considering China’s expanding influence in Latin America. This influence has led to significant diplomatic changes, such as the Dominican Republic‘s decision to sever ties with Taiwan in favor of China in 2018, a move that reflects the growing geopolitical contest in the region.

Japan’s bid, therefore, is not merely economic in nature but is also strategic, aiming to strengthen ties with the United States and enhance Japan’s soft power in Latin America. This is seen as a countermeasure to China’s Belt and Road initiative, which has significantly increased Chinese influence globally. Japan’s involvement in the Dominican Republic’s metro project underscores its intention to use infrastructure development as a means of geopolitical engagement, offering an opportunity to foster economic growth, build strategic partnerships, and assert its role as a key player in international relations.

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