ZTE Corporation (Shenzhen: 000063, Hong Kong: 0763), the fastest growing global provider of telecommunications equipment and network solutions, has been selected to modernise Vietnam´s northern railway transceiver systems. This is one of the largest overseas transportation communications projects ever undertaken by a Chinese telecoms vendor.

Under the engineering, procurement and construction contract signed with Vietnam Railways Corporation in Hanoi, ZTE will modernise signalling and telecommunications systems for three railway routes in Vietnam including the Hanoi-Lao Cai, Hanoi-Dong Dang, and Hanoi-Thai Nguyen lines, and for Hanoi rail junctions.

"This project has been in the pipeline since 2001 when the Ministry of Transportation authorised a feasibility study, " said Mr Tran Van Luc, director of Railway Projects Management Unit, Vietnam. "We were impressed with ZTE´s professional and customised solutions and services, so finally chose it as our partner."

ZTE will provide switching system, transmission products, access networks, monitoring products, videoconferencing system, digital dispatching system, interlock /block system and train operation monitoring/supervision system, for the VND1 trillion (US$66 million) project. 

"The railway transceiver systems are due for operation in four years. Once operational, the systems will help enhance the modernisation and security of Vietnam´s northern railways, and promote the economy and tourism development of surrounding areas," said Mr Mao Chengyu, chief representative of ZTE Vietnam. "We are proud to be the first Chinese telecoms vendor to contribute to the development of Vietnam´s railway network."

This agreement follows the announcement in March this year that ZTE would install Vietnam´s most advanced CDMA telecommunications network for Vietnam Power Telecom (VP Telecom). The network will cover 13 of the country´s provinces, including the most densely-populated and highly-developed areas of Ho Chi Minh City and the Mekong Delta.

ZTE has over 10 years´ experience with railway communication networks. Responding to customer demand, ZTE recently introduced the DXT digital dispatching system especially for the upgrading of railway communication systems to modern access network technologies. DXT is playing an important role in the reconstruction of railway communications systems around the world.