Siemens Mobility has received an €185m ($247m) contract from Munich City Utilities to supply 21 C2-type underground trains.
The trains, totalling 126 cars, will be delivered between 2013 and 2015 and will be deployed on Munich Public Transportation Company's 100km underground network.
The trains will have a top speed of 90km/h and are being built at Siemens' plants in Vienna and Munich.
The trains will feature LED lighting technology, video cameras, passenger TV, new seating and wider doors.
The company has also taken out two options on a further 46 underground trains, totalling 276 cars, which can be exercised until 2016 and 2020, respectively.
The total volume of the order, including the options, is around €550 ($736m).