The Iranian railway industry was formed by the inauguration of Wagon Pars

Wagon Pars

Wagon Pars is an Iranian train manufacturing company established in 1974, in Arak, Iran.Products include locomotives, trains, metros, freight and fuel wagons, and equipment for passenger boarding of aircraft.-History:...

 in 1985. The railway is being developed with Iranian state backing and forms part of the Iranian Economic Reform Plan

Iranian Economic Reform Plan

The Iranian targeted subsidy plan also known as the subsidy reform plan was passed by the Iranian Parliament on January 5, 2010. The government has described the subsidy plan as the "biggest surgery" to the nation's economy in half a century and "one of the most important undertakings in Iran's...

.

Iran Khodro Rail Transport Industries Company (IRICO) was established in 2003 to produce passenger rolling stock, and Mapna Locomotive Engineering and Manufacturing Company was established in 2006 to manufacture locomotives.

In March 2011 the first diesel locomotives with an Iranian diesel engine was unveiled, the DESA diesel

Desa diesel

The Iran Heavy Diesel Manufacturing Company was established in 1991 to manufacture heavy diesel engines from 200 to 3500 KW for railway, marine and Power generation purposes.-History:...

 powered locomotive is expected to be mass produced for the Iranian rail network.

Iran has signed an agreement with Bangladesh to build 70 diesel locomotive

Diesel locomotive

A diesel locomotive is a type of railroad locomotive in which the prime mover is a diesel engine, a reciprocating engine operating on the Diesel cycle as invented by Dr. Rudolf Diesel...

s for that country's railway and 41 for Syrian railway.

Iranian rail companies

• Wagon Pars
  Wagon Pars
  Wagon Pars is an Iranian train manufacturing company established in 1974, in Arak, Iran.Products include locomotives, trains, metros, freight and fuel wagons, and equipment for passenger boarding of aircraft.-History:...
  
  
• Polour Sabz
• Desa diesel
  Desa diesel
  The Iran Heavy Diesel Manufacturing Company was established in 1991 to manufacture heavy diesel engines from 200 to 3500 KW for railway, marine and Power generation purposes.-History:...
  
   (Diesel engine manufacturer)
• Wagon Sazi Tehran
• IRICO
  IRICO (Iran)
  Iran Khodro Rail Transport Industries Company was established by Iran Khodro Investment Development Company in 2003 for manufacturing different types of rolling stock...
  
  
• Mapna Locomotive Engineering and Manufacturing Company