SMS group said the project includes the supply of the main technological equipment including a breakdown mill, universal reversing tandem mill, in-line profile gauge with Surftech, straightening machines for section and rail straightening, hot and cold saws, and special machines for rail finishing. 

Once completed, the facility will serve high-speed train and infrastructure projects throughout the region with high-quality medium sections, rails and other products. They estimate it will have an annual production capacity of 700,000 metric tons.

“By delivering cutting-edge technology and tailored solutions, we aim to ensure that the plant achieves exceptional operational performance, product quality, and environmental sustainability. SMS group is proud to contribute to the region’s industrial development and long-term growth,” said Bernhard Steenken, chief strategy officer, Asia-Pacific, Middle East and Africa for SMS group. 

SMS group said they will carry out the engineering, manufacturing and testing of the main equipment in its workshops in Germany. The mill will include a latest generation breakdown mill with hydraulic bottom roll adjustment and the latest generation of CCS® Stands. It will also feature the inline laser profile measuring system PROgauge and a CRS®-type straightening machine.

Level 1 and level 2 automation including digital solutions such as the LS quality execution system will be equipped. They estimate the plant’s automation and digitalization solutions will elevate productivity while reducing operational costs and energy consumption. 

“Hoa Phat has been focusing on promoting the production of high-quality steel for the railways, oil and gas, and mechanical engineering industries, contributing to replacing high-quality steel products that would otherwise have to be imported,” said Tran Dinh Long, chairman of the board of directors of Hoa Phat Group. 

The companies expect production to begin within 20 months of the project’s start date.