Economy, Domestic Economy

Hyundai Rotem Collects $75m in Dues

Hyundai Rotem Collects $75m in Dues  Hyundai Rotem Collects $75m in Dues

South Korean manufacturer of rolling stock, defense products and plant equipment Hyundai Rotem has collected 83.5 billion won (about $75 million) in outstanding payments from a railway project in Iran, South Korean daily newspaper The Korea Herald reported on Friday. The Seoul-based company signed a contract in 2004 with Raja, a public enterprise under the Islamic Republic of Iran Railways, to supply 150 diesel trains. Hyundai Rotem started delivering trains in 2007, but due to US imposed sanctions against Iran over its nuclear program, the project was halted and payment was interrupted. As economic sanctions on Iran were lifted in January as part of the nuclear deal the country struck with world powers last year, with the support from the South Korean government and financial institutions, the Hyundai Motor affiliate negotiated with the Iranian government and recently resolved the issue by receiving payment from a local oil refinery for Iranian natural gas instead, according to The Korea Herald. The company says it will complete the unfinished delivery of diesel train cars to Iran by the end of 2018.