Hyundai Rotem launches commercial operations of maglev train

Hyundai Rotem Co., a train-making affiliate of Hyundai Motor Group, started commercial operations of a magnetic levitation train developed with its own technology on Wednesday, the company said.

This marked the second of its kind in the world following Japan's Nippon Sharyo, which began commercial operations of its own magnetic levitation train back in 2005.

The unmanned train will run on a 6.1-kilometer route linking Incheon International Airport to a nearby airport train station. The route will be extended further later on.

In 2006, Hyundai Rotem developed a magnetic levitation train with its own technology that runs up to 110 kilometers per hour. It has been test-operated for years.

Magnetic levitation trains use a powerful magnetic field to suspend them above rails. They run 8 millimeters above rails, reducing noise and vibration and dust compared with conventional ones.

Meanwhile, Hyundai Rotem said that all of its 33 executive members have bought back 67,000 shares of the company in a bid to lend support for its ongoing efforts to get over tough business situations caused by a fall in orders and faltering earnings.

Information on the exact amount of money spent on the stock buyback is not available.

Shares of Hyundai Rotem traded at 11,850 won, down 0.84 percent as of 9:13 a.m. on the Seoul bourse.

Last month, the company ramped up its cost-cutting measures by initiating an early retirement program for the first time in about 10 years. (Yonhap)