China is one of the largest rail markets in the world. According to the latest official data,
China's total domestic demand for rail stood at around 3.5-4.0 million mt in 2006. Domestic rail producers were able to meet most of the market demand, while the remainder was met by imports. In 2006, domestic rail output was 2.9 million mt. Of this, the outputs of light rail (less than 30 kg/m) and heavy rail (more than 30 kg/m) were 900,000 mt and two million mt respectively. Taking the other accessorial steel products into account,
China's total output of rail-related steel products amounted to 3.34 million tons in 2006.
The current period is one of high-speed growth for Chinese railway
construction. During the Chinese government's eleventh “Five Year Plan” - 2006 to 2010, the state plans to invest RMB 1.25 trillion ($0.16 trillion) in the country's railway infrastructure. This figure is four times the amount invested during the previous five-year period (2001-2005).
During the 2006-2010 period, the total length of new railways to be built by the state has been set at 17,000 kilometers, thus bringing the country's total rail network up to 90,000 km. The figure currently stands at around 81,000 km.
In recent years, the average rate of railway
construction in
China has been about 3000 kilometers a year. Since the present railway capacity is too small to meet the needs of national economic development, the state is planning to accelerate the speed of railway
construction, in addition to increasing the speed of the trains. The sixth major upgrading of the speed of trains in
China is to be launched on April 18, 2007. This is another positive measure to expand the capacity of the national railways.
Some figures may serve to show the extent of the gap between
China and the developed countries. The total length of railways in operation in the USA is about 450,000 kilometers.
China's surface area is close to that of the USA while its population is over four times higher. However,
China's total length of operating railways is just 18 percent of that of the USA. For this reason, some experts and authorities in
China are calling for a more rapid
construction of new railways. An average length of at least 10,000 kilometers of new railways each year has been suggested.
So far, the rail section length in general application in
China is at most 50 meters, although it is apparent that heavy rail sections of 100 m in length will be preferred in the future. Currently in
China, only Panzhihua Steel and
Baosteel are able to produce large quantities of 100 m rail. Another major rail producer, Ansteel, is reconstructing its 50 m rail
production line and upgrading it to a 100 m line, with
production expected to begin in April 2007.
These three steelmakers are the top rail producers in
China. To meet the requirements of high-speed trains, light rail is being replaced by heavy rail in the domestic market. The total heavy rail output of the three steelmakers in question in 2006 occupied a 93.84 percent share of the domestic market; Panzhihua Steel and Ansteel each with around 660-680,000 tons, and
Baosteel with 520,000 tons. While these three steelmakers produce little light rail, the major light rail producers are based mostly in Hebei Province which accounts for nearly 70 percent of total light rail output in
China.
So far, heavy rail with gauges of 33, 38, 43, 50, 54, 60 kg/m is being produced in
China. In addition, high-end heavy rail – i.e., 75 gauge rail – has also been successfully produced by Panzhihua Steel and is now in use. The successful
production of 75 gauge rail, 100 m rail and the successful
construction of the Qinghai-Tibet Railway in 2006 all provide evidence that
China's rail
production technology is now on top of the world.