Japan is striving to expand its railway business in Asia and challenge China's dominance in this market. Currently, they are focusing on securing projects in Singapore, Malaysia, and India. Their recent victory over China in securing a $15 billion railway project in India demonstrates their determination.
Japanese companies Hitachi and Mitsubishi Heavy Industries are now targeting the bullet train project between Singapore and Kuala Lumpur, opening up a new market for them. The Japanese government supports this bid, with Transport Minister Keiichi Ishii emphasizing the importance of cooperation between the government and companies to win railway contracts in India.
With this maneuver, Hitachi will face off against China's CRRC Corporation Limited, which dominates high-speed railway projects in the region. CRRC leads projects in Indonesia and Thailand and is interested in the Kuala Lumpur-Singapore high-speed railway line, where Japanese companies have yet to compete.
Japan, a pioneer in high-speed rail technology for over half a century, aims to increase its Shinkansen technology exports. The goal is to reach 30 trillion yen (S$349.7 billion) by 2020. One of the main projects is the proposal for the Singapore-Kuala Lumpur railway line, which will reduce travel time from four hours to 90 minutes.
More than 250 proposals were submitted for the Singapore-Kuala Lumpur railway project. Among the 14 finalists are companies from various countries, including France, Germany, Spain, Canada, China, South Korea, and Japan. China, currently a major supplier of railways in Malaysia, has also expressed interest in this project.
On the other hand, Japan's success in securing the high-speed railway project in India over China is notable. Japan will help build a 505 km railway line connecting Mumbai and Ahmedabad. This victory marks Japan's first high-speed railway contract in India and represents a significant step in the country's efforts to export its bullet train technology.
