ZongXiang, a leading Chinese manufacturer of railway components, recently exported a significant batch of rail fishplates to Vietnam, strengthening its position in the Southeast Asian railway market. This export aligns with the growing collaboration between China and Vietnam in railway infrastructure development, driven by Vietnam’s ambitious plans to modernize its rail network and China’s Belt and Road Initiative.

Rail fishplates, critical for joining rail ends to ensure track stability and safety, are a cornerstone of railway construction. ZongXiang’s fishplates are known for their durability, precision engineering, and compliance with international standards, making them ideal for Vietnam’s expanding rail projects. The batch, tailored to Vietnam’s standard-gauge railway specifications, supports the country’s efforts to upgrade its aging rail infrastructure, including the high-profile Hanoi-Ho Chi Minh City high-speed rail and the China-Vietnam cross-border railway.

The export comes at a time when Vietnam is investing heavily in rail connectivity. In February 2025, Vietnam’s National Assembly approved an $8.3 billion railway project linking the Vietnam-China border at Lao Cai-Hekou to Hanoi, Haiphong, and Ha Long City, partially funded by Chinese loans. Additionally, a $67 billion high-speed rail project connecting Hanoi to Ho Chi Minh City is set to begin construction in 2027. ZongXiang’s fishplates are likely to play a vital role in these projects, ensuring seamless rail connections and enhanced safety.

This export also reflects the deepening trade ties between China and Vietnam. In April 2025, the two nations signed multiple cooperation agreements focusing on railway development and supply chains. ZongXiang’s contribution underscores China’s role as a key supplier of railway materials, with its fishplates meeting Vietnam’s demand for high-quality components. The company’s ability to deliver large-scale, customized orders positions it as a reliable partner in Vietnam’s infrastructure growth.

However, the export occurs amid trade challenges. Recent U.S. tariff hikes on steel and aluminum, including a 46% tariff on Vietnamese steel, have raised concerns about cost increases. Vietnam’s steel industry, reliant on Chinese imports, faces pressure from anti-dumping measures. ZongXiang, by focusing on specialized components like fishplates, navigates these challenges by supplying directly to infrastructure projects, avoiding some tariff-related disruptions.

ZongXiang’s export success highlights its strategic focus on quality and global outreach. The company’s fishplates are engineered to withstand Vietnam’s diverse climate, ensuring long-term reliability. This deal not only boosts ZongXiang’s market presence but also supports Vietnam’s goal of enhancing regional connectivity and economic growth through modernized rail systems. As Vietnam continues its railway expansion, ZongXiang is well-positioned to supply critical components, fostering stronger bilateral ties and sustainable infrastructure development.