‘Spirit of self-reliance’ to lay tracks for Vietnam’s first high-speed railway: official

Vietnam will mainly rely on itself in building the nation’s first transnational high-speed railway, minimizing foreign strings attached, says Deputy Minister of Transport Nguyen Danh Huy.

Funding for the project will mostly come from the central budget, government bonds, contributions from local governments, and low-cost borrowings, Huy said at a press meet Tuesday.

The railway project, the first of its kind in the country with a long coastline, is estimated to cost $67.34 billion. It will feature 23 passenger stations and five freight stops instead of the previously projected 14 passenger stations and zero freight stops.

“We will proceed with the high-speed railway in the spirit of self-reliance. The Politburo and the Party Central Committee (PCC) have decided not to depend on foreign countries because any borrowings will come with strings attached,” Huy said.

At a plenum last month, the PCC agreed with a proposal submitted by the Politburo, the country's supreme decision-making body, on building the mega railway project. The National Assembly, Vietnam’s parliament, is expected to greenlight the project at its next month-long session, due to be convened on October 21.

The deputy minister elaborated that even if Vietnam resorts to foreign loans, their sizes will be manageable so that their conditions will be insignificant. The Vietnamese side will make technology transfer a key condition, he stressed

If foreign contractors are needed, a prerequisite would be the engagement of domestically produced products and services as construction works will likely cost $34 billion. Vietnamese contractors are capable of major works like tunnels, roads bridges, and suspension bridges.

Vietnam has companies that are capable of carrying out infrastructure works and equipped with machinery to build train coaches, Huy said.

Regarding the choice of which country the core railway technology would be taken from, Huy said the selection would depend on the conditions for its transfer.

Highest resolve, special project

With preparations underway, construction is expected to start in 2027 and be finished in 2035, Huy informed.

He acknowledged that Vietnam has no experience in building high-speed railways and site clearance usually takes three to even six years.

“However, the North-South high-speed railway project is of special importance. It will be implemented with the highest political will, with resources to be mobilized domestically and internationally,” he asserted.

The deputy minister noted that Vietnam has been preparing for such a project for nearly two decades, sending delegations to multiple countries to study their high-speed train experiences. Training at home and abroad for project personnel has been considered, he added.

Speaking at the press meet, Vu Hong Phuong, director of the Railway Project Management Board under the Ministry of Transport, said special policies and mechanisms will be adopted to ensure speedy site clearance, resettlement, and technical infrastructure. Workforce training will be thoroughly planned, he said.