Axion International (Providence, New Jersey / USA; www.axionintl.com) and Sicut Holding (India / UK) have signed a non-binding letter of intent (LOI) to form a 65:35 joint venture, Axion Rail, that would produce and market recycled structural composites (RSC) for railroad ties worldwide.

Both firms hold technology licences from Rutgers University (New Brunswick, New Jersey / USA) – Axion for the Americas, Australia, the Caribbean, South Korea and Russia as well as a substantial chunk of the Chinese market; Sicut for Europe, India, South Africa, Southeast Asia and parts of China. The jv will target in particular the large European markets. The UK is estimated to replace around 1m ties, or sleepers, annually, France 1.2m and Germany roughly 1m.

The future partners cite an estimate by the independent consultancy SCI Verkehr (Hamburg / Germany; www.sci.de) that the railroad tie/sleeper market is worth USD 3 bn in Europe and USD 8 bn globally. Separately, through Sicut’s Vertech arm, Axion has received an order worth USD 170,000 to supply its recycled composite for a 3.6m by 27m bridge over the river Tweed near Edinburgh / Scotland. It will be the first bridge in Europe to be built entirely from recycled plastic. Axion said its lightweight RSC material is inert and contains no toxic materials, is impervious to insect infestation and does not warp.