VinSpeed ​​registers to invest in North-South high-speed railway

The proposal is based on the spirit of serving the country, as well as the desire to build a high-speed railway industry. Once put into operation, the arterial route is expected to contribute to economic growth and improving people's lives.

The venture has a total investment of VND1.56 trillion ($60.15 million), excluding land clearance, compensation, and resettlement expenses. VinSpeed is in charge of funding 20 per cent of the total investment, equalling $12 billion, from its own resources. For the remaining 80 per cent, the company proposes to borrow zero-interest loans from the state budget, with a repayment period of 35 years from the time of disbursement.

When compared with the investment framework approved by the National Assembly, VinSpeed's proposal significantly eases pressure on the state budget. This is particularly true against the backdrop of the majority of high-speed rail projects globally struggling to turn a profit and frequently incurring prolonged losses and delays.

VinSpeed plans to begin construction by December 2025. The company will accelerate construction and put the entire route into commercial operation by December 2030.

VinSpeed is under negotiations with leading railway technology partners from China, Germany, and Japan. It aims to receive technology transfer and produce locomotives, carriages, and signalling systems in Vietnam. The company will also train workers and master the technology to develop the high-speed railway industry for the nation.

To ensure loan repayment for the state, VinSpeed will collaborate with Vingroup and Vinhomes to develop modern and full-amenity urban areas surrounding the railway.

Most of the areas surrounding the railway line are far from city centres, with no clear value. However, when invested by the Vingroup ecosystem, these areas promise to develop strongly, contributing to changing the infrastructure landscape, improving living standards, promoting tourism, and creating economic development momentum for the localities.

Vietnamese groups Hoa Phat Steel and THACO are being encouraged to join the North-South high-speed railway project by producing high-speed rails and carriages.

Regarding the North-South high-speed railway, Prime Minister Chinh reiterated that under Resolution No. 106/NQ-CP, the Government has approved the overall implementation plan, ensuring construction starts no later than December 2026

Vietnam welcomes Chinese enterprises, including the CCECC, to actively collaborate with Vietnamese firms to improve competitiveness in terms of technology, quality, and cost-efficiency as they engage in the investment and construction of high-speed rail lines in Vietnam.