$100 billion market "attracts" businesses

Looking back at 9 projects expected to start construction before 2030

The leader of Vietnam Railway Authority said that the 9 projects expected to be implemented include: High-speed railway project on the North-South axis, new investment for the entire route with a length of about 1,541km, starting point Ngoc Hoi station (Hanoi), ending point Thu Thiem station (Ho Chi Minh City); double-track railway, 1,435mm gauge, design speed 350km/h, axle load 22.5 tons. The route passes through 20 provinces/cities under the Central Government, has 23 passenger stations, 5 freight stations.

Regarding the function, passenger transport, it can transport goods when necessary. The total preliminary investment of the project is 67.34 billion USD; using state budget capital and other legal capital sources. The project will have a feasibility study report (FS) prepared from 2025, striving to basically complete the project by 2035.

Next is the Lao Cai - Hanoi - Hai Phong railway project, with a new investment of the entire route with a length of about 388.1km (the Lao Cai - Lach Huyen Port section is 383km long, the Lao Cai station - rail junction section is 5.1km long). The route starts at the rail junction with China (Lao Cai City), ends at Lach Huyen Port Station (Hai Phong); passes through 9 provinces/cities under the Central Government, has 30 passenger stations, 2 depots in Yen Thuong, Yen Vien. The design speed is 160km/h, the route transports passengers and goods. The project has a total preliminary investment of about 8.39 billion USD. Regarding the implementation progress, the feasibility study report will be established from 2025, striving to complete the project by 2030 at the latest.

The Government requested the Ministry of Construction to study and propose adequate mechanisms and policies to promote the rapid implementation of railway projects.

Next is the Hanoi Eastern Belt Railway Project, starting at Ngoc Hoi Station and ending at Kim Son Station (Hanoi). The total length is about 31km, with a passenger train speed of about 120km/h and a freight train speed of about 80km/h. The project is expected to start construction in 2027 and basically complete the entire route in 2032. Next to it is the Yen Vien - Pha Lai - Ha Long - Cai Lan Railway Project, starting at Yen Vien Station (Hanoi), ending at Cai Lan Station (Quang Ninh). The total length is about 131km, with a gauge of 1,435mm and 1,000mm. The construction is expected to start in 2027 and basically complete the entire route in 2030.

There is also the Thu Thiem - Long Thanh Railway Project, starting point at Thu Thiem Station (Ho Chi Minh City), ending point at Long Thanh Station (located between Long Thanh Airport, Dong Nai). The total length of the route is about 42km, transporting passengers. The project is preparing a Technical Research Report. Expected progress: Striving to start construction in 2027, completed in 2030.

Then comes the Ho Chi Minh City - Can Tho Railway Project, the starting point of the line is at An Binh Station (Binh Duong Province), the ending point of the line is at Can Tho Station (Can Tho City). The total length is about 175.2km, the designed speed of passenger trains is about 200km/h, the speed of freight trains is about 120km/h. The project is preparing a Technical Research Report. The construction is expected to start in 2027, and the entire line will be basically completed in 2032.

Bien Hoa - Vung Tau railway project, starting point at Trang Bom station (Dong Nai), ending point at Vung Tau station (Ba Ria - Vung Tau). Total length of the route is about 132km, passenger train speed is about 160km/h, freight train speed is about 120km/h. Strive to start construction before 2030, basically complete the entire route by 2035. Vung Ang - Mu Gia railway project, starting point at Vung Ang station (Ha Tinh), ending point at Mu Gia station (Quang Binh). Total length of the route is about 105km, single track with 1,435mm gauge, passenger train speed is about 120km/h, freight train speed is about 80km/h, strive to start construction before 2030, basically complete the entire route by 2035.

Finally, the Thap Cham - Da Lat railway project, starting point at Thap Cham station (Ninh Thuan), ending point at Da Lat station (Lam Dong province). Total length is about 84km, single track 1,000mm gauge, passenger train speed is about 120km/h, freight train speed is about 80km/h. Construction is expected to start before 2030, basically completing the entire route by 2035.

Many businesses are ready to join

In fact, many localities have planned urban and inter-regional railways. Hanoi alone will invest 415km by 2035, and Ho Chi Minh City will invest 355km. By 2045, Hanoi needs to invest 200km, while Ho Chi Minh City needs 155km. In terms of the overall market, in addition to initial investment in infrastructure construction, locomotives, carriages, signal information, traction power, there is also maintenance and repair according to the project life cycle. In terms of value, the North-South high-speed railway has an investment value of more than 67 billion USD, and the Lao Cai - Hanoi - Hai Phong route is about 8 billion USD. Together with urban railway projects in Hanoi, Ho Chi Minh City and planned railway projects, it will create a large market of about 100 billion USD, expanding the "playground" for Vietnamese enterprises.

Mr. Do Manh Cuong, Deputy General Director of Fecon Group, said that this is his "home ground". The State needs to set out specific criteria and conditions for businesses to participate, invest and take ownership. Mr. Cuong added that since 2014, Fecon has sent experts and engineers to work abroad to learn about the urban railway sector. With Hanoi Metro Line 3, Fecon is a subcontractor of the Hyundai & Ghella joint venture. From this experience, Mr. Cuong affirmed that Vietnamese businesses can completely access technology and proactively construct infrastructure items using modern technology with the foundation, foundation and entire structure under the rails.

Regarding seizing opportunities, experts said that the high-speed railway projects being implemented are all large-scale projects and are entirely funded by Vietnam, so it is necessary to prioritize the participation of domestic enterprises. At the same time, it is necessary to issue additional incentive mechanisms such as tax reduction, credit incentives, and bidding in some special cases... This is the key for Vietnam to master high-speed railway projects, affirming its new position in the transportation industry.

Regarding this issue, in Document No. 2712/VPCP-CN dated April 1, 2025, Prime Minister Pham Minh Chinh assigned Deputy Prime Minister Tran Hong Ha to direct the Minister of Construction to study and propose adequate mechanisms and policies to serve as a basis for promoting the rapid implementation of high-speed railway projects on the North-South axis, the Lao Cai - Hanoi - Hai Phong railway project, the Lang Son - Hanoi railway project, and the Hai Phong - Ha Long - Mong Cai railway project.

Source: https://cand.com.vn/Giao-thong/thi-truong-100-ty-usd-hut-doanh-nghiep-i764164/