- VNR proposes a 250-hectare complex to localize rail production.
- Annual target includes locomotives, coaches, and freight wagons.
- Aims to meet the 2050 railway expansion and reduce import reliance.
Vietnam Railways (VNR) has suggested establishing a railway industrial complex in Hanoi to gain control over domestic production technology for rolling stock and parts, thereby decreasing dependence on imports. VNR has additionally sought various special measures to expedite execution and draw private-sector involvement in conjunction with public funding.
VNR reports that the industry presently runs 258 locomotives, 980 passenger coaches, and more than 4,300 freight wagons. By the conclusion of 2025, no fewer than 114 locomotives, 168 passenger cars, and 1,472 freight wagons will have completed their operational lifespan.
In the meantime, Vietnam’s Railway Network Plan for 2050 aims for 25 lines totaling more than 6,300km, featuring 18 new routes. Urban rail systems, fast lines, and regional routes will need thousands of new engines, passenger coaches, and freight wagons.
The North–South high-speed railway will require approximately 1,100 electric multiple unit (EMU) coaches, while urban rail initiatives demand close to 1,500 coaches. Electrified and enhanced tracks will require hundreds of locomotives, thousands of passenger coaches, and more than 7,000 freight cars. Even with this increasing demand, domestic rail production is still constrained.
“The industry mainly repairs and replaces old systems, has no export products and cannot yet build electric locomotives. Specialised freight wagon production is also very restricted,” said VNR Deputy General Director Hoang Nang Khang.
To tackle these issues, VNR has proposed a 250-hectare railway industrial complex in Hà Nội, aiming to localize the production of locomotives and carriages, manufacture components, and create signalling and electrification software, and carry out significant overhauls for rolling stock. The facility will include production and assembly units for rolling stock, machinery and replacement parts, research and development (R&D) and innovation hubs, maintenance and repair shops, along with a direct link to the national rail system.
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“Importing everything cannot be a long-term solution. This complex will enable us to transfer technology to build locomotives, carriages under 200kph and urban rail cars domestically,” Khang said.
Public funding will support infrastructure, research and development centers, and connectivity, while private companies will be encouraged to invest in production and operations. The production strategy aims for an annual yield of 10 locomotives (diesel, hybrid, or clean energy such as LNG and hydrogen); 15 electric locomotives; 50 regular passenger coaches; 60 high-speed coaches designed for 160kph; 300 freight wagons (1,435mm and 1,000mm gauge); and 200 urban rail vehicles.
The facility will feature approximately 20 operational areas, ranging from the production of bogies (railroad trucks) and assembly lines for EMUs and high-speed trains to logistics centers, training facilities, test tracks, and housing for workers. The advancement of new urban and high-speed railway lines will occur in phases.