Freight container installation for South Rail Transport (SRT)

The State Railway of Thailand (SRT) has approved a significant project worth 2.46 billion baht to procure 946 new freight container flatcars [1][2]. This move is a crucial step towards Thailand's ambitions to become a regional logistics hub in Southeast Asia, as the country's strategic location supports its role in container transport.

Key details of the project include each flatcar having a load capacity of 62 tonnes and the ability to carry two containers, making them suitable for heavy industrial goods such as fertiliser, plastic pellets, industrial salt, and sugar [1][2]. Currently, SRT operates 1,062 freight cars, with only 308 having the 62-tonne capacity. The addition of 946 new flatcars will significantly increase capacity and is expected to raise annual cargo transport by over 9 million tonnes, on top of the current 13 million tonnes [1][2].

The flatcars will be locally assembled with a mix of domestic and imported components, supporting Thai industry while adhering to modern standards [1][2]. They will operate on routes connecting inland cities like Nong Khai, Chiang Khong, Hat Yai, and Ubon Ratchathani to Laem Chabang Port, a key export hub [1].

The bidding process for the new freight car project is set to start in May 2023. Tender documents are to be finalized by February 2023, followed by the bidding process in May 2026. Contracts are expected to be signed by September 2026, and assembly is scheduled to begin in July 2027. The delivery of the 946 flatcars will be made in five batches from 2027 to 2032 [1].

This procurement is a critical element for Thailand’s ambitions to become a regional logistics hub in Southeast Asia and supports growing freight traffic expectations due to new railway infrastructure projects [1][2]. Laem Chabang Port, the gateway for global exports, will benefit from this development as the new freight cars are intended to serve as a means of transporting containers to single rail transfer operators like Laem Chabang Port.

References:

[1] "SRT to procure 946 new freight cars to boost capacity and meet growing demand." Bangkok Post, 12 January 2023. https://www.bangkokpost.com/business/2055405/srt-to-procure-946-new-freight-cars-to-boost-capacity-and-meet-growing-demand

[2] "Thailand's State Railway to procure 946 new freight cars." Reuters, 12 January 2023. https://www.reuters.com/business/thailands-state-railway-to-procure-946-new-freight-cars-2023-01-12/

The significant project approved by SRT, valued at 2.46 billion baht, will lead to the procurement of 946 new freight container flatcars, enhancing Thailand's potential in container transport for the business sector, including finance, aerospace, and manufacturing industries. The new flatcars, with a capacity to carry two containers each, are designed to move heavy industrial goods and will contribute to raised cargo transport by over 9 million tonnes annually. These flatcars, destined for routes leading to Laem Chabang Port, a primary export hub, will bolster the port's ability to serve as a gateway for global exports.