A Central Japan Railway Co. shinkansen passes through Odawara Station in Kanagawa Prefecture. A Japanese public-private fund is in the final stage of negotiations to invest around ¥4 billion in a high-speed rail project in Texas, in which the company's shinkansen technology is expected to be adopted. | BLOOMBERG.
A Japanese public-private fund is in the final stage of negotiations to invest about ¥4 billion in a high-speed rail project in Texas, sources said Friday.
The project, in which Central Japan Railway Co.’s shinkansen bullet train technology is expected to be used, faces the challenge of covering costs totaling $12 billion (¥1.5 trillion).
With the investment, the government is hoping to highlight its policy of assisting domestic firms in the export of infrastructure systems amid intensifying competition with China and other rivals.
The fund, known as the Japan Overseas Infrastructure Investment Corp. for Transport & Urban Development, will take a stake in the rail project’s managing firm, Texas Central Partners LLC.
The project calls for building a 400-km rail system connecting Dallas and Houston in about 90 minutes. The railway is planned to go into operation in 2021.