GE South African Technologies, GE Transportation's entity in South Africa, announced that it has signed a landmark contract with Transnet Limited to supply Transnet Freight Rail with 100 locomotives.

TFR is South Africa's state owned rail freight logistics utility, Transnet Limited is its parent company. Ten of the locomotives will be manufactured in Erie and Grove City, USA and 90 will be manufactured locally at Transnet Rail Engineering’s site in South Africa with kits provided by GE Transportation.

Mr Lorenzo Simonelli president & CEO of GE Transportation said that "We are pleased that GE is helping drive South Africa towards a lead manufacturing economy by localizing the production of locomotives in South Africa. We look forward to sharing some of our global success with Transnet and thus jointly expanding our regional footprint. GE’s extensive knowledge in localizing locomotive assembly can be witnessed in some of the world’s leading developing economies such as China, Brazil and Kazakhstan. Each of our global manufacturing sites has been specifically customized in line with customer and country requirements and capabilities. We worked closely with Transnet Rail Engineering to develop a comprehensive localization plan that complements local strengths and transfers world-class skills and technology where applicable."

In December 2008, GE Transportation signed an agreement with one of South Africa’s foremost Broad Based Black Economic Empowerment companies, Mineworkers Investment Company, to establish the subsidiary GE South Africa Technologies (Pty) Limited, allowing the company to more actively participate in South Africa's social and economic transformation in the rail industry.

Mr Tshidi Madima executive director of the MIC said that "We are delighted that GESAT has been successful in winning this Transnet Freight Rail contract as this is an excellent example of the type of participation in the South African economy that was anticipated in the creation of GESAT 12 months ago."