Hoa Phat Group: Revolutionary steel for high-speed trains in Vietnam

Hoa Phat Group: Revolutionary steel for high-speed trains in Vietnam

Hoa Phat Group has taken a significant step in the steel industry by signing a contract with SMS Group of Germany. This contract includes the supply of technology and production lines for rail and section steel. The production capacity is an impressive 700,000 tons per year. The signing ceremony was attended by, among others, Hoa Phat Group Chairman Tran Dinh Long and General Director Nguyen Viet Thang, along with SMS Group representatives such as Bernhard Steenken and Roberto Miccoli.

Through this partnership, Hoa Phat Group will be able to produce special grades of steel that have not previously been produced by any Vietnamese company, including rails for light railways, overhead cranes and high-speed trains. The main equipment is manufactured in Germany and is subject to strict quality control systems. The production lines use the most modern, highly flexible 4-axis rolling system, which is used in 90% of rail steel rolling mills worldwide, reports vietnam.vn.

Innovation in steel production

Rail production processes incorporate several cutting-edge technologies. These include bloom and carrier blank furnaces, coarse rollers, a multifunctional reversible handle system, a laser scanning system for detecting surface defects and a quality control system with NDT. In addition, the new technology allows the production of steel rails up to 100 meters long and with superior hardness, with quality control carried out using laser devices and ultrasound. These products meet international standards such as EN 3674, JIS E1120 and TB/T2344.

Hoa Phat Group, which has over 30 years of experience in the industry, plans to produce high-quality steel products for the railway, oil and gas, energy and defense industries. This will make it the first company in Southeast Asia to produce high-speed railway steel to international standards. Additionally, Hoa Phat Group is the largest steel producer in Vietnam and Southeast Asia, aiming to reach a production capacity of 15 million tons per year by the end of 2025.

Expansion of production capacities

In addition to the agreement with SMS Group, Hoa Phat Group has also successfully completed the commissioning of two new converter smelters supplied by SMS Group. These new facilities are designed to produce four million tons of liquid steel annually. All four 120 tonne BOF converters are equipped with modern systems including oxygen lances, sublance systems and maintenance-free slat suspension systems. The technology supplied from Germany ensures efficient and clean production processes.

Given the COVID-19 travel restrictions, the commissioning of the smelters was supported remotely by SMS Group. The smelters are part of a comprehensive expansion program in the Dung Quat Economic Zone near Da Nang. The new systems meet the latest environmental technology standards and include, among other things, a main gas separation plant equipped with dry electrostatic precipitators (ESP).

With more than 14,000 employees and an annual turnover of over 2.9 billion euros, the SMS Group positions itself as an important player in the field of plant engineering and mechanical engineering for the steel and non-ferrous metal industries and supports the Hoa Phat Group on its path to technological leadership in the region. The new production lines and innovative technology will undoubtedly strengthen Hoa Phat's competitiveness in the international market.

For more information visit the website of vietnam.vn and SMS Group.