Hoa Phat Group has signed a contract with Germany-based SMS group to supply technology and a high-capacity production line for rail steel and structural steel, with an annual output of 700,000 tons. The line, set to be completed within 20 months, will enable Hoa Phat to roll out its first high-speed rail tracks by Q1 2027, making it the only company in Southeast Asia capable of manufacturing steel rails for high-speed railways.
The production line uses state-of-the-art European technology, including precise rolling mills, automated laser defect detection, non-destructive testing, and rail head hardening systems, ensuring top international standards. Hoa Phat’s rails, produced from low-impurity iron ore, will meet stringent global standards such as EN 3674, JIS E1120, and TB/T2344, suitable for major national railway projects and exports.
Further, Hoa Phat’s commitment to producing high-quality steel to replace imports and support national infrastructure projects, including high-speed rail (HSR). SMS group, a long-time partner with over 150 years of metallurgical expertise, highlighted the strategic importance of this project for Vietnam’s steel industry and Southeast Asia’s infrastructure development.