Hyundai Rotem Secures €487M Maintenance Contract Morocco

RABAT, MOROCCO – Hyundai Rotem and Morocco’s national railway operator ONCF finalized a 20-year maintenance contract worth EUR 487 million (748.2 billion won) in June 2026. The agreement covers the entire fleet of 440 double-decker electric railcars that will be supplied under a separate EUR 1.3 billion contract signed in February. The signing took place in Rabat with Hyundai Rotem CEO Lee Yong-bae and ONCF Director General Mohamed Rabie Khlie in attendance.

What Does This Contract Cover?

The agreement commits Hyundai Rotem to deliver comprehensive maintenance across the 440-train fleet for two decades. Services include the supply of spare parts, operation of a dedicated technical support centre, heavy maintenance, technical inspections, repairs, and replacement of safety-critical components. Over 200 small and medium-sized South Korean enterprises will supply parts for the maintenance programme, a linkage Hyundai Rotem described as contributing to railway industry development in both Korea and Morocco.

Key Contract Data

How Does This Compare to Similar Contracts?

The EUR 487 million maintenance agreement far exceeds the typical railway maintenance contract. According to Reuters industry benchmarks, the average value of similar maintenance deals in the railway sector for 2024–2025 was approximately EUR 12 million. Hyundai Rotem’s contract with ONCF is more than 40 times that average, underscoring the scale and strategic weight of the Moroccan fleet programme. Specific annual payment terms or the exact division between spare parts and service labour were not disclosed. The preceding rolling stock supply contract, valued at EUR 1.3 billion, brings the total Hyundai Rotem–ONCF order package to around EUR 1.787 billion.

Editor’s Analysis

This maintenance contract turns a one-time vehicle sale into a two-decade service annuity, locking Hyundai Rotem into Africa’s most ambitious passenger rail expansion. The deal arrives as Morocco accelerates infrastructure spending across sectors — the country has allocated $17.1 billion toward defence modernisation alone (Source: The Jerusalem Post, 2026). Such concentrated state investment creates a predictable demand environment that may attract further international suppliers. However, the 20-year commitment also exposes Hyundai Rotem to currency and supply-chain risks that were not addressed in the public announcement.

FAQ

Q: What is the combined value of Hyundai Rotem’s supply and maintenance deals with ONCF for these trains?
A: The two contracts total approximately EUR 1.787 billion, with EUR 1.3 billion for the 440 double-decker electric railcars and EUR 487 million for 20 years of maintenance.

Q: Which companies will manufacture the spare parts for the maintenance contract?
A: Hyundai Rotem will collaborate with over 200 small and medium-sized South Korean enterprises. Individual company names were not made public.

Q: How does this maintenance agreement support the 2030 FIFA World Cup?
A: The trains will connect major host cities such as Casablanca, and the long-term maintenance guarantee is designed to ensure high reliability and service availability during the tournament period.