S Korean firms seek to join high-speed railway, LNG-fired power projects in Vietnam

Many South Korean businesses seek to join strategic infrastructure projects in Vietnam, including high-speed railways, LNG-fired power plants, and nuclear power factories, said Yoon Suk Yeol, special advisor on foreign affairs and security to the South Korean President.

The diplomat made the statement at a Tuesday meeting with Vietnamese Deputy Prime Minister-Minister of Foreign Affairs Bui Thanh Son.

South Korea regards Vietnam as a key partner in its regional diplomacy, including the Indo-Pacific strategy. The country strives to become a top partner of Vietnam regarding Vietnam’s plan to become a developed and high-income country in 2045, Yoon Suk Yeol added.

South Korea plans to help Vietnam host the 2025 summit for the P4G – Partnering for Green Growth and the Global Goals 2030 – next April, he emphasized.

On the same day, Yoon Suk Yeol had a meeting with Vietnamese Party chief and State President To Lam.

The South Korean diplomat said his country wishes to expand economic, trade and investment collaboration with Vietnam, especially in high technology, innovation, transport infrastructure, energy, and national defense-security.

Vietnam currently has no nuclear power project. In September, the Ministry of Industry and Trade was tasked with studying development of nuclear power as a baseload source.

The ministry must comprehensively review the sources of energy stipulated in the national power development plan VIII (PDP VIII) to ensure energy security and annual power supply growth of 12-15%, given economic growth projections of over 7% per year.

A possible solution is to switch from coal-fired to gas-fired power as a primary power source, while nuclear power is also an option.

Vietnam also has no high-speed railway yet. The country is considering a North-South high-speed railway. The project is slated to have a length of 1,541 kilometers and a maximum speed of 350 kilometers per hour. It will run through 20 provinces and cities, with the two ends being Hanoi and Ho Chi Minh City, the country’s two largest cities.

The initial cost is $67.34 billion, higher than $58.7 billion of a similar project proposed in 2019.

Vietnam now has no operational LNG-fired power plant yet. South Korean businesses have expressed their willingness to join projects in Vietnam, including Hai Lang Power Center in the central province of Quang Tri, Nghi Son in the central province of Thanh Hoa, a project in the central province of Phu Yen, and Vung Ang III Ha Tinh in the central province of Ha Tinh.