Vietnamese industrial conglomerate Truong Hai Group Corporation (Truong Hai Group) has submitted a formal proposal to the Prime Minister to invest more than 1.56 trillion VND (some 61.35 billion USD) in the country’s high-speed railway linking Hanoi and Ho Chi Minh City.
As part of the proposal, it suggested that land clearance should be treated as a separate, state-led project and therefore excluded from the overall investment cost of the railway scheme.
The company proposed to finance 20% of the project (roughly 12.27 billion USD) through its own capital. The remaining 80% (approximately 49.08 billion USD) would be sourced from domestic and international credit institutions, under the condition that the government provides sovereign guarantees and covers all interest payments over a 30-year period.
Its plan envisions a two-phase construction timeline. Phase 1, lasting five years, is set to construct and operate the two busiest sections, from Hanoi to Ha Tinh, and from Ho Chi Minh City to Nha Trang. Phase 2 will see the completion of the central section from Ha Tinh to Nha Trang over the next two years. The section presents complex terrain and geological challenges, requiring research and effective solutions.
The corporation proposed to deploy electrified rail systems using standard-gauge track, ensuring modernity and compliance with international standards. It intends to work in partnership with domestic enterprises to facilitate proper technology transfer from leading partners in Europe (notably Germany and France) and Asia (such as Japan and the Republic of Korea).
Other proposed activities include human resources training, and the management and operation of high-speed rail systems, with the broader goal of laying the groundwork for a homegrown railway industry. The group also sees the venture as a catalyst for developing Vietnam’s foundational industries, such as heavy industry (metallurgy, mechanical engineering) and the digital sector. Priorities will be placed on domestic collaboration and joint ventures, especially for components and project segments where Vietnamese firms possess sufficient capacity.
The North–South high-speed rail line is expected to span approximately 1,541 kilometres, connecting Ngoc Hoi Station in Hanoi with Thu Thiem Station in Ho Chi Minh City, and traversing 20 provinces and centrally governed cities. Featuring 23 passenger stations and five freight terminals, it is designed to serve both civilian transport and defence-security tasks.