The German multinational firm Siemens intends to take advantage of the expanding rail transit market in India by setting up a centre for mass transit and urban transportation solutions there.

The corporation just signed one of its largest contracts in the nation with Indian Railways, which led to this decision.

This is the single largest order for Siemens Mobility in India, with a deal of Rs 26,000 crore ($3 billion) that calls on Siemens to provide and maintain electric locomotives for freight transportation.

“We will accelerate the component and locomotive manufacturing in India. We also have a site in India that develops a lot of railway infrastructure solutions. We want to use India as a hub for making mass transit and urban transport solutions,” said Peter Koerte, CTO and chief strategy officer, Siemens AG.

India has emerged as an important market for Siemens and contributes substantially to the company's revenue. The company employs 12,000 software developers in India, half of whom are based in Bengaluru.

Siemens has been transforming itself into a technology-focused firm rather than just a manufacturing player over the past two years. Koerte, noted that incremental revenue growth from India has been on the rise.