Becamex-Thaco consortium eyes $4.7 bln metro line project in southern Vietnam

A consortium between two industrial giants, Becamex IDC and Thaco, has proposed investing more than VND124 trillion ($4.71 billion) to build two metro lines connecting Ho Chi Minh City's center with the adjacent Binh Duong ward, in a move that could reshape transport links across Vietnam’s southern economic hub.

The proposal, submitted to city authorities, outlines two inter-provincial metro routes aimed at easing congestion and strengthening connectivity between the former HCMC and the former Binh Duong province. HCMC, Ba Ria-Vung Tau and Binh Duong were merged last July to form the new HCMC.

The first line, prioritized for early development, would run 32.4 kilometers from Binh Duong New City Urban Area to Suoi Tien (in the former Thu Duc city of HCMC), featuring 19 elevated stations and a depot located in Binh Duong.

The project carries an estimated investment of VND64.37 trillion ($2.44 billion), excluding financing costs, with land clearance accounting for roughly VND8.03 trillion ($304.95 million). The consortium targets completion by 2030.

The second route would stretch 24.2 kilometers from Thu Dau Mot ward (in the former Binh Duong province) to central HCMC, with 14 elevated stations and shared depot infrastructure linked to existing metro systems. This line is projected to cost nearly VND59.97 trillion ($2.28 billion), with land acquisition expenses significantly higher at around VND15.67 trillion ($594.97 million). It is expected to be operational by 2035.

Together, the two projects would require total investment exceeding VND124 trillion, underscoring the scale of capital needed to modernize urban transport in Vietnam’s largest metropolis.

The investors said they are prepared to mobilize financial resources and execution capacity to ensure timely delivery. Legal procedures are expected to be completed in 2026, with groundbreaking scheduled for the first quarter of 2027.

The proposal comes as HCMC accelerates development of its urban rail network to address chronic traffic congestion and support long-term economic growth.

Separately, Thaco is already involved in other metro-related developments in the city. Authorities recently approved a foreign contractor consortium including Thaco and China Railway Group to undertake an EPC package for Metro Line No. 2 (Ben Thanh-Tham Luong), which broke ground in January.

Following its merger with Binh Duong and Ba Ria-Vung Tau provinces, HCMC has outlined an ambitious urban rail development plan for 2026-2035, targeting the construction of nine metro lines from late 2027 and completion of 355 km of urban rail by 2035, with total investment estimated at $44 billion.

Becamex IDC is a leading urban area and industrial real estate developer in Vietnam. For Thaco, automobile assembly and distribution is the largest revenue driver, ahead of the group's interests in real estate, agriculture, logistics, and supporting industries.