Brian Jeffrey
Support for Domestic Railway Project
Long expressed his backing for the government’s ambitious North-South high-speed railway initiative, highlighting its aim to utilize local financing and homegrown materials for construction.
He mentioned that consultancy firms have projected that the project will require approximately 6 million tons of various types of steel, all of which can be manufactured by Vietnamese companies.
According to Long, Hoa Phat has devoted the past three years to researching steel products suitable for railways, positioning them well to manufacture the necessary materials for this initiative.
The company is also exploring the development of several significant projects in Phu Yen province, with plans for a steel complex that will specialize in producing premium steel products for mechanical engineering, including steel plates and rails.
“Should we be selected as the steel supplier, we are confident in our ability to deliver the entire 6 million tons of required steel, particularly for high-speed rail and prestressed applications,” Long assured.
He guaranteed that their steel would comply with international benchmarks and meet all technical requirements, with timely delivery to align with project schedules.
On pricing, Long assured prospective clients that their offerings would be ‘competitive and lower than imported alternatives.’
Nguyen Danh Huy, Deputy Minister of Transport, noted the ministry’s commitment to prioritizing domestic resources in the project, which is to be reviewed by the Politburo and the Central Party Committee, including drafting a feasibility study for the National Assembly.
The Ministry of Transport (MOT) has mandated that EPC contractors utilize domestic products, establishing this as a prerequisite for all contractors involved.
Furthermore, MOT has suggested that the government task state-owned companies or domestic firms with supplying products that are domestically produced.
The preliminary feasibility study for the North-South high-speed railway indicates the route will stretch 1,541 kilometers, commencing at Ngoc Hoi Station in Hanoi and concluding at Thu Thiem Station in Ho Chi Minh City.
This railway will traverse 20 cities and provinces, featuring 23 passenger terminals and five cargo terminals, with development areas ranging from 250 to 300 hectares, except for Thu Thiem, which is allocated 17 hectares.
