Formation of National Transport Network

In the context of the world accelerating the development of sustainable and modern transport infrastructure, high-speed rail is not only a symbol of technological capability, organisational capacity, and national strategic vision.

The technological gap between existing railways and high-speed rail is very large; therefore, Viet Nam needs to prepare well for training human resources to meet the requirements of mastering the technology. Source: VNR
The technological gap between existing railways and high-speed rail is very large; therefore, Viet Nam needs to prepare well for training human resources to meet the requirements of mastering the technology. Source: VNR

With high operating speeds, high-speed rail systems not only shorten travel time between major urban centres but also stimulate regional economic growth, reduce emissions, and reshape the national transport network.

Opening the way for growth, strengthening regional connectivity

The 13th National Party Congress term has created important momentum and capacity for national development, particularly the completion of approximately 3,000 km of expressways, basically closing the North–South expressway from Lang Son to Ca Mau in 2025. Specifically, within just five years, the Ministry of Construction commenced 84 projects and completed 98 transport projects. In 2025 alone, 15 projects were launched and 38 were completed, four times higher than in 2024.

Building on the achievements of the previous term, with a series of key projects launched, completed, and put into operation, the 14th National Party Congress continues to identify the development of synchronised and modern infrastructure as one of the strategic breakthroughs, with a focus on multimodal transport infrastructure. In particular, high-speed rail lines will be prioritised for investment and construction to enhance regional connectivity and international integration.

The 14th National Party Congress aims to identify investment in strategic-scale projects such as the North–South high-speed railway (1,541 km long, with a total investment of more than 1.71 quadrillion VND) and the Lao Cai–Ha Noi–Hai Phong high-speed railway (417 km long, with a total investment of 203,231 billion VND), gradually replacing the outdated railway system. These two projects were approved by the National Assembly on November 30, 2024, and February 19, 2025.

Less than four months after the large-scale groundbreaking ceremony of the Lao Cai–Ha Noi–Hai Phong high-speed railway project, on April 12, the Ha Noi–Quang Ninh high-speed railway, with a total investment of more than 147,000 billion VND (over 5.6 billion USD), was officially launched. Once completed, expected in 2028, travel time from Ha Noi to Quang Ninh will be reduced to just 23 minutes, instead of nearly 2.5 hours as at present. “This is a revolution in mobility. When the distance between two centres is reduced to only 23 minutes, it is no longer a journey but a transformation in redefining living standards,” Hoang Dao Hiep, Senior Customer Strategy Director at Dentsu Redder, commented.

This means that in the future, Ha Noi may no longer operate under a single-centre model—where all values, services, and opportunities are concentrated in the urban core. Thanks to the multi-polar connectivity of high-speed rail lines, Ha Noi will be able to proactively create new centres attractive enough for people to confidently adopt a decentralised urban lifestyle. Because “high-speed rail compresses distance, turning satellite cities into development poles equivalent in function to the central area,” emphasised Dr, Architect Truong Van Quang, Deputy Secretary General of the Vietnam Urban Planning and Development Association.

In addition, the investment in regional high-speed rail lines such as Ho Chi Minh City–Can Tho, Bien Hoa–Vung Tau, Mong Cai–Ha Long–Hai Phong, Ha Noi–Lang Son, and Vientiane (Laos)–Vung Ang aims to reduce pressure on traditional transport modes. Once completed, these railway systems will cover the entire country from north to south, connecting seaports, aviation, and more—something that was previously unattainable.

According to Minister of Construction Tran Hong Minh, the addition of high-speed rail infrastructure not only enhances regional connectivity but also expands economic development space, thereby improving Viet Nam’s logistics capacity and export competitiveness in the international market.

“The goal is that by 2030, the Lao Cai–Ha Noi–Hai Phong railway will be completed, and the North–South high-speed railway will be gradually implemented, meeting development requirements in the new era,” Minister Tran Hong Minh emphasised.

Prerequisites for breakthrough potential

From the perspective that developing a high-speed rail system is not merely an infrastructure issue but also a long-term strategy for economic development, technological security, and national sovereignty, economic expert Nguyen Quang Huy (CEO of the Faculty of Finance and Banking, Nguyen Trai University) assessed that large-scale projects such as the North–South high-speed railway and other strategic lines are expected to create a dual impetus by stimulating large-scale industrial and construction markets while generating employment across the value chain. The Lao Cai–Ha Noi–Hai Phong line alone could create a construction market worth nearly 4.5 billion USD, with approximately 90,000 jobs during the construction phase, along with long-term employment once operational.

Similarly, the Ha Noi–Quang Ninh high-speed railway is expected not only to shorten travel time but also to open opportunities for restructuring development space, promoting regional connectivity, and forming new growth drivers for the Northern key economic region. Speaking at the project’s groundbreaking ceremony, Quan Minh Cuong, Secretary of the Quang Ninh Provincial Party Committee, emphasised that this is a strategic infrastructure project with significance beyond that of a conventional transport project. When travel time is significantly reduced, geographical barriers will no longer be substantial.

Citing examples of the most successful countries in developing high-speed rail, such as Japan and China, Nguyen Quang Huy noted that they share a common approach: prioritising localisation of production and mastering technology, rather than relying entirely on foreign partners. This approach strengthens industrial capacity, creates jobs, and enables mastery of high-speed rail technology, thereby promoting domestic industrial development.

However, in the current context, developing high-speed rail remains a significant challenge, primarily due to extremely high investment costs. According to data from the World Bank (WB), the average investment cost per kilometre of high-speed rail in China is about 17–21 million USD. In contrast, the California high-speed rail project in the United States is estimated to cost up to 128 billion USD, equivalent to 166 million USD per kilometre, due to strict environmental standards and high legal costs. Therefore, according to economic experts, the decision to invest in high-speed rail is not simply an infrastructure project but a national strategic issue. The Government must carefully consider and calculate, as this is a new technology being implemented in Viet Nam for the first time. Naturally, such challenges do not deter the economy, especially when considering the long-term benefits that high-speed rail can bring.

Regarding this issue, Deputy Minister of Construction Nguyen Danh Huy stated that the Party and the State have consistently maintained a clear stance: high-speed rail development must adopt advanced technology while ensuring the participation of domestic enterprises, progressing towards mastering the technology. In particular, Viet Nam does not seek the most expensive technology but rather the most advanced and appropriate, proven to be safe, effective, and transferable. Viet Nam will prioritise solutions in signalling systems, automation, new materials, green energy, and smart construction technologies.

In reality, as a high-speed transport mode, it requires stringent technical standards and safety measures. Therefore, cost or revenue considerations must not compromise these requirements. The policy of investing in high-speed rail projects is both necessary and aligned with the country’s development strategy. Deputy Minister of Finance Tran Quoc Phuong affirmed that there is now a sufficient political and practical basis from resolutions and conclusions of the Central Committee and the Politburo for building high-speed rail lines up to 2035, as well as for completing transport infrastructure, including the North–South high-speed railway. This is essential to achieve breakthroughs in infrastructure, generating positive and widespread impacts on economic growth and social welfare. “High-speed rail lines will have significant positive impacts if implemented effectively and quickly. Initial investment will directly affect GDP in the early stage, and later its spillover effects will be much greater, even exceeding current projections,” Deputy Minister Tran Quoc Phuong noted.

Pointing out fundamental challenges in implementing high-speed rail based on domestic experience, Associate Professor, Dr Hoang Ha (University of Transport and Communications) emphasised that the greatest challenge does not lie in individual technical solutions, but in the lack of synchronisation across the entire value chain—from design and construction to operation, from technology to implementation capacity. However, the true success of high-speed rail lies not only in transportation efficiency, but in its ability to create strategic connectivity between transport, urban development, and industry—a testament to effective coordination among “Government–business–society”, serving as a strategic launchpad for national development over the coming decades.

Viet Nam’s railway development strategy to 2030, with a vision to 2050, focuses on modernising the network, prioritising high-speed rail and regional and international connectivity lines. This strategy is clearly reflected in an important message demonstrating strong political determination, as emphasised by General Secretary and President To Lam during the recent State visit to China. Railway cooperation has been identified as one of the top priorities, opening new development space and strengthening regional connectivity.”

Minister of Construction Tran Hong Minh

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