Infrastructure & PPPs in Vietnam - Q1 2026 Update

YOG INFRA
1 hour ago
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VIETNAM is expanding infrastructure, energy, and tourism, with multiple projects being developed under Public-Private Partnership (PPP) model, including the 1,000-hectare Ban Gioc plan targeting 4 million visitors. Ho Chi Minh City is boosting mobility with 5 new metro lines and nearly 19 million passengers on Metro Line 1. Key projects like the USD 1.12 Bn Can Tho 2 Bridge and expressway expansion to 8,920 km by 2050 are improving connectivity. The country is also advancing clean energy with a 6 GW renewable cluster and major investments in transport, digital, and industrial infrastructure, driving sustainable growth.

Read the latest developments in Infrastructure and PPPs in Vietnam in our Q1 2026 insight.

JANUARY 2026

SUN GROUP PROPOSES MASTER PLAN FOR BAN GIOC WATERFALL TOURIST AREA IN NORTHERN VIETNAM

Sun Group has presented its proposed master plan for the Ban Gioc Waterfall Tourist Area in Cao Bang province, outlining a large-scale, sustainability-focused tourism development in Vietnam’s northern border region. The proposal was submitted to provincial authorities following a memorandum of understanding signed with the Cao Bang People’s Committee in Q3 2025.

Covering around 1,000 hectares in Dam Thuy commune, the project is inspired by Tay ethnic legends and is designed to integrate experiential tourism, local culture, and cross-border exchange. Sun Group development aims to balance tourism growth with environmental protection, community benefits, and cultural preservation, while strengthening border security and climate resilience.

Located within the core area of the UNESCO-recognised Non-Nuoc Cao Bang Global Geopark and the Cao Bang Border Economic Zone, the master plan envisions Ban Gioc as an international tourist destination. The plan divides the area into interconnected sub-zones linked to local folklore and natural landmarks such as Ban Gioc Waterfall, the Quay Son River, and Nguom Ngao Cave, combining architectural works, cultural performances, resort facilities, and experiential tourism products.

The project is positioned as a “Green Border Heritage” development and is aligned with Vietnam–China cooperation on the joint protection and tourism use of the Ban Gioc–Detian Waterfall area. Following planned highway upgrades, Sun Group estimates annual visitor numbers could reach 1.5 million initially and rise to around 4 million within five years of implementation.

HCMC PROPOSES ADDING FIVE METRO LINES LINKING LONG THANH AIRPORT, BINH DUONG, AND VUNG TAU

The Ho Chi Minh City People’s Committee has proposed adding five new metro lines, which pilot’s special mechanisms and policies for developing urban rail networks in Ho Chi Minh City and Hanoi. The proposal follows the administrative merger of Ho Chi Minh City with Binh Duong and Ba Ria–Vung Tau, creating an expanded metropolitan area with increased regional connectivity needs.

Under the proposal, the five metro lines are:

Binh Duong New City – Suoi Tien (Line 1)
Thu Dau Mot City – HCMC (Line 2)
Vung Tau – Ba Ria – Phu My (Line 3)
Thu Thiem – Long Thanh
Extension of the Ben Thanh – Suoi Tien metro line to the administrative center of Dong Nai province and Long Thanh International Airport.

All five lines are planned for implementation during the 2026–2030 and 2031–2035 periods, using public investment or Public-Private Partnership (PPP) models.

VIETNAM TO BUILD USD 1.1 BN CAN THO 2 BRIDGE LINKING KEY MEKONG DELTA EXPRESSWAYS

The Government of Vietnam is preparing to develop the Can Tho 2 Bridge, a major road-and-rail crossing over the Hau River, with a total investment estimated at VND 29.525 Trn (about USD 1.12 Bn). The project is being reviewed by the Ministry of Construction, with construction expected to begin in 2026 and completion targeted within five years.

Can Tho 2 is designed as a combined road–rail bridge that will integrate with the future Ho Chi Minh City–Can Tho railway. The bridge forms part of a 17.5 km corridor running from the Cha Va interchange in Vinh Long Province to the IC2 interchange in Can Tho, directly connecting to the HCMC–Ca Mau expressway.

Can Tho 2 will link to Vietnam’s North–South expressway network. The bridge will connect multiple Mekong Delta corridors, including Chau Doc–Can Tho–Soc Trang and Ha Tien–Rach Gia–Bac Lieu, helping to ease congestion on National Highway 1, strengthen regional logistics, and support economic and social development across the delta.

METRO LINE NO 1 BOOSTS PUBLIC TRANSPORT UPTAKE IN HO CHI MINH CITY

Ho Chi Minh City’s first metro line, Ho Chi Minh City Metro Line No 1 connecting Bến Thành and Suối Tiên, recorded nearly 19 million passenger trips in its first year of operation, marking a major milestone for public transport in Việt Nam’s largest city. The strong ridership reflects growing public acceptance of mass transit and highlights the metro’s role in reshaping daily mobility patterns.

The success of Line No 1 has also reinforced the need for a broader, integrated transport network. While buses and a single metro line cannot fully meet travel demand, better coordination between surface transport, elevated routes, waterways and underground rail is increasingly seen as essential to reduce reliance on private vehicles. Around Line No 1 stations, expanded motorbike parking areas are consistently full, while electric bus services and conventional bus routes feeding into the metro have recorded higher passenger volumes.

Technology adoption has enhanced passenger convenience, with app-based ticketing replacing manual sales and integrated e-ticketing allowing seamless transfers between buses and the metro via smartphones. With Metro Line No 2 and the Bến Thành–Cần Giờ urban rail link already under construction, expectations are rising that Ho Chi Minh City’s expanding metro network will further strengthen sustainable urban mobility in the years ahead.

HANOI TARGETS COMPLETION OF USD 320 MN RING ROAD 2.5 IN 2026

The Government of Hanoi aims to complete its long-delayed Ring Road 2.5 project by the Q4 of 2026 after approving more than VND 8.4 Trn (about USD 320 Mn) to fund land clearance and construction of the remaining sections. City authorities said the project is being implemented under an emergency investment mechanism to ease chronic congestion and support major national events.

Ring Road 2.5 spans nearly 19.64 km, running from the Ciputra New Urban Area to the interchange with Ring Road 3 near Thanh Tri Bridge, with a planned width of 40–50 meters. To date, five sections totaling over 11 km have been completed and opened to traffic, while another five sections covering more than 6 km are under construction. The emergency order focuses on completing the final three missing sections, with most of the budget allocated to land acquisition and site clearance.

The ring road plays a critical role in redistributing traffic and reducing pressure on the heavily congested Ring Roads 2 and 3. Surveys, design work and cost estimates are underway, alongside public consultations and preparations for relocation in affected areas. Ring Road 2.5 forms part of Hanoi’s broader plan to develop seven ring roads totaling around 285 km, as the city accelerates transport infrastructure development to meet rising urban mobility needs.

BII, FMO BACK HDBANK GREEN BONDS WITH USD 50 MN TO BOOST VIETNAM’S ENERGY TRANSITION

British International Investment (BII) has invested USD 20 Mn in the second tranche of HDBank’s inaugural international green bond programme, alongside a USD 30 Mn commitment from Entrepreneurial Development Bank (FMO). The tranche follows a USD 50 Mn anchor investment by the International Finance Corporation (IFC) in the first issuance, marking a coordinated push to scale green finance in Vietnam.

Proceeds from the bonds will be directed toward solar power, electric vehicles, green buildings, and energy-efficiency projects. Together, these investments are expected to cut around 102,000 tonnes of CO₂ over the next decade, supporting Vietnam’s Net Zero 2050 target and broadening access to climate-aligned capital across the economy.

PACIFIC CONSTRUCTION GROUP EXPANDS VIETNAM RAIL AND INFRASTRUCTURE PROJECTS

The Government of Vietnam has invited China’s Pacific Construction Group (PCG) to study an underground metro line linking Tan Son Nhat International Airport in Ho Chi Minh City with Long Thanh International Airport in Dong Nai province. The proposed link would connect with HCMC’s Metro Line No. 2 and the planned Thu Thiem–Long Thanh railway, supporting integrated airport access as Long Thanh begins operations in 2026.

PCG is also expanding its activity in southern Vietnam. Ca Mau province signed a memorandum of understanding (MoU) with the group covering urban rail planning, smart transport systems, and transit-oriented development, with pledged investment of at least USD 5 Bn over five years. Projects will follow EPC and Public Private Partnership (PPP) models and include integrated ticketing, traffic management, and clean-energy transport solutions.

HCMC APPROVES CAN GIO–VUNG TAU SEA-CROSSING ROAD WITH UNDERSEA TUNNEL

The Government of Ho Chi Minh City has approved a proposal by Vingroup to build a direct sea-crossing road linking Can Gio and Vung Tau, cutting travel time to about one hour.

The approved alignment is a six-lane, 14 km corridor across Ghenh Rai Bay, comprising about 8 km of bridges, a 3.1 km submerged undersea tunnel beneath shipping lanes, and roughly 3 km of approach roads. Two artificial islands will serve as bridge–tunnel transition points. Construction is planned to start in Q2 2026, with completion targeted for Q2 2029.

The project is estimated at over VND 104 Trn (about USD 3.94 Bn) and will be delivered under a Public-Private Partnership (PPP) in the form of a build-transfer contract, with Vingroup financing 100% of costs. The route is expected to ease congestion on existing expressways, improve access to the Cai Mep–Thi Vai port complex and Long Son Industrial Zone, and support HCMC’s marine-oriented urban development.

BW INDUSTRIAL ANNOUNCES USD 120 MN STRATEGIC PARTNERSHIP

Warburg Pincus-backed industrial logistics platform BW Industrial has announced a USD 120 Mn partnership with a leading global institutional investor to develop a portfolio of high-quality industrial projects across key industrial hubs in Vietnam.

Under the partnership, BW will serve as the asset and development manager for the portfolio, overseeing deal sourcing, project development, operations, and investment management. The name of the global institutional investor is undisclosed. The joint venture will be seeded with three high-quality development projects with a combined gross floor area of around 270,000 sq mt and feature an attractive pipeline of identified opportunities.

Scheduled for completion in 2026-27, these developments will benefit from direct access to major highways, international airports, and seaports, along with strategic locations, supporting demand from tenants in the electronics, automotive, and other high value-added industries. The partnership will focus on developing modern and large-scale industrial assets to serve the rising demand for high-quality, modular, ready-built factories from rapidly-growing multinational and domestic enterprises.

VIETNAM WAFER JSC PROPOSES SEMICONDUCTOR MATERIALS PROJECT IN PPP INVESTMENT FORM

Vietnam Wafer JSC has proposed developing a semiconductor materials project under a Public-Private Partnership (PPP) model in Quang Tri province, central Vietnam, with a total investment of nearly VND 400 Bn (USD 15.23 Mn).

In a submission to the Quang Tri People's Committee, Vietnam Wafer outlined plans for a testing and R&D center for semiconductor-grade materials derived from silica (SiO₂) and silicon (Si), with applications in wafer manufacturing. The project would initially be located at Vietnam Wafer’s existing plant in the Quan Ngang Industrial Park, before expanding research, testing and pilot production to other suitable sites in the province at a later stage (phase 2).

The project aims to develop testing and production technologies for semiconductor materials, serving as the first nucleus for semiconductor materials R&D in Quang Tri. Planned activities include R&D and provision of science-technology services in refining of silica and high-purity natural quartz; development of crystal-growing technologies; wafer cutting, grinding and polishing; building of pilot R&D production lines ready for industrial application; and training of a high-skilled local workforce.

Under the proposal, total investment is estimated at VND 400 Bn (USD15.23 Mn), with the investor contributing VND 270 Bn (USD 10.28 Mn), or 67.5%, from its own and other legal sources. The state would provide about VND 130 Bn (USD 4.95 Mn), equivalent to 32.5%, within the PPP framework.

The project aligns with national priorities on science, technology and innovation, and implements the Politburo's Resolution 57-NQ/TW on breakthroughs in science and technology development, which positions enterprises at the center of R&D activities. The project would also be considered under special incentive procedures for PPP projects in science and technology, in line with the amended Investment Law taking effect in 2025.

DA NANG TO INVEST USD 172 MN TO UPGRADE NATIONAL HIGHWAY 14D

Da Nang City in central Vietnam has decided to invest more than VND 4.5 Trn (USD 172 Mn) to renovate and upgrade National Highway 14D, a strategic transport axis connecting the coastal plains with the mountainous regions and the Nam Giang International Border Gate.

The comprehensive upgrade of National Highway 14D has been a long-standing wish of residents in the highland border areas, as the route has severely degraded, posing significant traffic safety risks. The project will be implemented between 2025 and 2027. Spanning over 65 km, the route begins at the intersection with the Ho Chi Minh Highway in Ben Giang Commune and terminates at the Nam Giang Border Gate area in La Dee Commune, Da Nang.

National Highway 14D is currently about 75 km long with a narrow road surface of only 3.5 to 5.5 meters, resulting in numerous "black spots" for accidents due to restricted visibility. Every day, the route endures a high volume of heavy trucks and tractor-trailers transporting goods from Laos to Central Vietnam’s seaports and vice versa.

KIM LONG MOTOR AND BYD TO BUILD USD 130 MN EV BATTERY PLANT IN VIETNAM

Vietnamese automaker Kim Long Motor announced that it is partnering with China’s BYD to develop a USD 130 Mn plant in central Vietnam to produce batteries for commercial electric vehicles. Under the agreement, Kim Long Motor will fund the construction of the facility, while BYD will provide comprehensive technical and technological support.

The plant will be built on a 4.4-hectare plot and is expected to have an initial production capacity of 3 gigawatt-hours (GWh) per year. In its second phase, the facility will expand to 10 hectares and double its production capacity to 6 GWh per year, while also introducing battery production for electric passenger cars.

The plant will produce batteries for commercial vehicles, including buses, trucks, and minibuses. Vietnam’s electric vehicle market is rapidly growing, led by domestic automaker VinFast, which recently entered the commercial vehicle segment with the launch of its EC Van, an electric cargo van designed to support sustainable urban freight transport.

FEBRUARY 2026

MINGYANG, XUAN THIEN, POWERCHINA SIGN 6 GW SINO-VIETNAM ZERO-CARBON ENERGY AGREEMENT

Mingyang Smart Energy, Xuan Thien Group (via its energy arm XCE Energy) and PowerChina have signed a cooperation agreement to jointly develop a 6GW zero-carbon energy project cluster in Vietnam, covering offshore wind power, green hydrogen and green ammonia, and zero-carbon industrial parks.

The cooperation framework targets the development of GW-scale offshore wind projects in Vietnamese waters, supported by downstream facilities for green hydrogen, green ammonia and green methanol production, alongside integrated energy storage under a combined wind–solar–storage–hydrogen model. The partners plan to leverage Vietnam’s private power sales policies through a direct power supply approach, while also exploring cross-border power linkages, including connections aligned with Singapore-focused green electricity corridors.

The wider project scope includes the establishment of a zero-carbon industrial park in Vietnam, concentrating on wind power equipment, energy storage systems and electrical infrastructure manufacturing. The park is expected to localise production of key components such as wind turbine blades, transformers and power transmission equipment, while deploying heterojunction photovoltaic technology to support on-site consumption and grid export of surplus electricity. Collectively, the initiative is positioned as a flagship example of China–Vietnam cooperation on large-scale renewable energy and industrial decarbonisation.

HCMC GRANTS IN-PRINCIPLE APPROVAL FOR THE CAI MEP HA PORT PROJECT

The Ho Chi Minh City People’s Committee has granted in-principle approval for the Cai Mep Ha container and general port project and approved a consortium comprising Geleximco Group, International Transport and Trading Corporation (ITC Corp), and State Capital Investment Corporation (SCIC) as the project’s investors.

The project will be developed in the Cai Mep–Thi Vai port area, Ba Ria–Vung Tau, with a total investment of VND 50.82 Trn (USD 2.07 Bn). Of this, VND 7.62 Trn (USD 311 Mn) (15%) will be contributed as equity by the investors, while the remaining VND 43.2 Trn (USD 1.76 Bn) (85%) will be mobilised from other financing sources. Development is planned in three phases, with Phase 1 (2025–2030) covering construction and commissioning of the first berth, scheduled to enter operation in Q4 2028 with an initial capacity of 2 million TEUs per year.

In subsequent Phase 2 (2031–2040) and Phase 3 (2041–2050), the port will be expanded to reach a total handling capacity of 10.8 million TEUs annually. The project will occupy 351.2 hectares, including 229.4 hectares for container terminals and 121.8 hectares of water area. Once completed, the port will be capable of accommodating container vessels of up to 250,000 deadweight tonnes (24,000 TEUs), as well as feeder vessels and barges serving coastal and inland waterways. The Cai Mep Ha port is positioned as a gateway port and international transhipment hub, supporting Vietnam’s long-haul export–import container trade.

The project is also aligned with Ho Chi Minh City’s plan to establish a free trade zone linked to Cai Mep Ha, reinforcing the port’s role in regional logistics and international trade.

HO CHI MINH CITY STEPS UP PUSH FOR DIGITAL INFRASTRUCTURE

The Government of Ho Chi Minh City has intensified efforts to attract investment into digital technology infrastructure, with a strong focus on hyperscale data centres and AI-driven facilities to support the development of an international financial centre.

The city administration outlined plans to prioritise digital infrastructure as a strategic pillar during the 2026–2030 period. Ho Chi Minh City aims to develop large-scale data centres, expand AI computing capacity and strengthen digital platforms to improve urban governance and financial services, with the longer-term objective of positioning the city among the world’s top 50 smart cities.

Key initiatives include the development of mega-scale AI data centre projects, construction of a northern science and technology urban zone, and further expansion of the Saigon Hi-Tech Park. City officials emphasised that Ho Chi Minh City intends to position itself as a trusted destination for internationally benchmarked digital infrastructure, while deepening cooperation with global technology players and investors.

Notably, G42 Group and a consortium of Vietnamese investors concluded a long-term framework agreement to develop large-scale data centre infrastructure in Vietnam, with total planned investment estimated at around USD 2 Bn.

VIETNAM PLANS USD 123 BN INVESTMENTS TO EXPAND EXPRESSWAY NETWORK TO 9,000 KM BY 2050

The Government of Vietnam plans to invest approximately USD 123 Bn to expand its national expressway network to 8,920 km by 2050, under the road infrastructure plan for 2021–2030 with a vision to 2050 approved by the Ministry of Construction.

The plan identifies 43 expressway routes nationwide, anchored by two major north–south corridors: the eastern North–South Expressway (about 2,065 km) and the western North–South Expressway (around 1,205 km). These corridors are intended to form the backbone of Vietnam’s long-distance transport and logistics system, strengthening inter-regional connectivity.

Urban expressway development is also a key focus. By 2050, Hanoi is planned to have three ring roads totalling about 417 km, while Ho Chi Minh City will have two ring roads spanning roughly 299 km, aimed at easing congestion and supporting long-term urban expansion. Regionally, northern Vietnam will account for about 2,242 km of expressways, central and Central Highlands regions 1,353 km, and southern Vietnam approximately 1,342 km.

Beyond expressways, the plan targets a national highway network of 172 routes with a total length of around 28,614 km by 2050, including key north–south arteries such as National Highway 1 and the Ho Chi Minh Road. Implementation is expected to require more than 200,000 hectares of land, with funding sourced from the state budget, government bonds, official development assistance (ODA), non-state capital, and other financing mechanisms.

Vietnam’s expressway buildout has accelerated sharply in recent years. By the end of 2025, the country had completed 3,803 km of expressways, surpassing the earlier 3,000 km target ahead of schedule. The government now aims to add another 2,000 km by 2030, bringing the total network to around 5,000 km within the next five years.

QUANG TRI TARGETS CLEAN ENERGY AND SERVICES UNDER THE NEW INVESTMENT ACTION PLAN

The People’s Committee of Quang Tri Province has issued a new Action Plan to mobilise investment into clean energy and service sectors. Under the plan, the province will prioritise mid-term and annual public investment for transport, logistics, urban, tourism, and social infrastructure projects. These investments are intended to strengthen connectivity within the province and with neighbouring regions.

Alongside public funding, Quang Tri aims to expand non-budget financing, with a strong emphasis on Public–Private Partnerships (PPP) model and the socialisation of investment. The province will also step up efforts to attract foreign direct investment (FDI), official development assistance (ODA), and preferential credit to support major projects in energy, logistics, tourism, and services, while aligning infrastructure development with human resource upgrading.

The Action Plan also highlights digital transformation in state management, with full deployment of digital solutions for investment- and land-related administrative procedures. The goal is to provide comprehensive online public services that improve transparency, efficiency, and ease of doing business for investors.

Looking ahead, Quang Tri aims to establish itself as a regional hub for clean energy, tourism, and new services in Central Vietnam, with a longer-term vision to 2045 of becoming a nationally prominent centre for energy, logistics, and tourism.

VIETNAM UNVEILS USD 794 MN CAT LAI CABLE-STAYED BRIDGE

The Government of Vietnam has approved the design for the Cat Lai cable-stayed bridge, a major river crossing linking Ho Chi Minh City with Dong Nai Province to improve access to Long Thanh International Airport and ease congestion on key corridors. The winning proposal by Transport Engineering Design Incorporated was approved on January 2026.

The 11.6 km project (including a 3 km main span) will run from Nguyen Thi Dinh Street in Cat Lai Ward to Dai Phuoc Commune in Dong Nai. Total investment is estimated at VND 20.6 Trn (USD 794 Mn). Developed under a Public Private Partnership (PPP) build-transfer (BT) model, the eight-lane bridge is designed for 80 km/hr and includes lanes for motorcycles and non-motorised vehicles.

Once operational, the bridge is expected to reduce pressure on National Highways 1 and 51 and the HCMC–Long Thanh–Dau Giay Expressway, strengthen interprovincial connectivity, and support links to airports, seaports, industrial parks, and urban areas across the southern growth corridor.

HCMC TO BUILD NGUYEN HUU THO CORRIDOR TO BEN LUC–LONG THANH EXPRESSWAY ROADWAY

Ho Chi Minh City have initiated an 8.6 km elevated roadway project aimed at improving connectivity in the city’s southern gateway in Vietnam. The project, estimated at approximately USD 390 Mn, will upgrade the Nguyen Huu Tho Road corridor, linking Nguyen Van Linh Boulevard to the Ben Luc–Long Thanh Expressway. The elevated viaduct will feature four lanes designed for speeds of up to 80 km/hr and will be developed under a Build–Operate–Transfer (BOT) model combining Public Private Partnership (PPP) model investment.

The scheme will include high-capacity elevated lanes for through traffic, with local service roads operating beneath the structure to support urban access. The alignment will enhance connectivity to Hiep Phuoc Port and integrate with access routes serving the upcoming Long Thanh International Airport. Public authorities are responsible for land acquisition and utility relocation, while the private investor will undertake construction and subsequent operation.

VIETNAM PROPOSES USD 755 MN EXPRESSWAY LINK BETWEEN HO CHI MINH CITY AND PHNOM PENH

Vietnam is moving to create a continuous high-speed road corridor between Ho Chi Minh City and Phnom Penh, proposing a two-phase plan to connect its HCMC-Moc Bai Expressway with Cambodia’s Phnom Penh-Bavet route.

The proposed link would be built at the Moc Bai-Bavet international border gate, currently the main road gateway between Vietnam and Cambodia. The plan aims to improve cross-border trade, streamline freight movement and strengthen regional connectivity in the southern key economic zone.

Vietnam is developing the nearly 51-kilometer HCMC-Moc Bai Expressway, which begins at Ring Road 3 in HCMC and ends about 5 kilometres from the Moc Bai border gate. The project has been approved under a Public-Private Partnership (PPP) model with a build-operate-transfer contract and carries a total investment of more than VND 19.6 Trn (USD 755 Mn), including VND 9.674 Trn (USD 395.7 Mn) in state capital.

On the Cambodian side, construction of the 135-kilometer Phnom Penh-Bavet Expressway began in Q2 2023 under a PPP model. The final section currently stops around 15 kilometres from the Vietnamese border while the two governments work to finalize the exact connection point.

Under Vietnam’s proposal, the first phase would use existing infrastructure at the Moc Bai-Bavet border gate to ensure the HCMC-Moc Bai Expressway can operate efficiently once completed. This interim solution would allow goods and vehicles to move through current customs routes while long-term plans are finalized.

In the second phase, the two expressways would be directly connected near border marker 170, aligned with the cargo clearance route of the Moc Bai-Bavet border gate. Authorities say this option is consistent with transport planning and has received support from relevant ministries and local governments.

HO CHI MINH CITY TO LAUNCH 25 E-BUS ROUTES

The Government of Ho Chi Minh City will launch 25 new electric bus routes starting Q1 2026, introducing hundreds of battery-electric buses into operation. The city’s transport authority awarded operating contracts through a tender process to VinBus Ecology Transport Services and Phuong Trang Passenger Transport Joint Stock Company. VinBus will operate nine routes, while Phuong Trang will manage 16 routes under the new package.

The expansion builds on the city’s earlier electrification plans announced in 2020. As of mid-2025, Ho Chi Minh City operated 613 electric buses, accounting for approximately 25% of its total bus fleet, alongside nearly 500 compressed natural gas (CNG) buses. Following the administrative merger with Bình Dương and Bà Rịa-Vũng Tàu provinces, the city now manages 179 bus routes with around 2,320 vehicles in service.

The additional electric routes form part of Ho Chi Minh City’s target to transition to a fully clean bus fleet by 2030, in line with Vietnam’s national strategy to phase out fossil fuels in public transport. The continued deployment of electric buses is expected to reduce emissions and modernise urban mobility across the expanded metropolitan area.

MARCH 2026

HUE CITY APPROVES USD 55.4 MN INDUSTRIAL PARK

Authorities in Hue City have approved an investment of VND 1.452 Trn (approximately USD 55.4 Mn) for the development of infrastructure at Industrial Park and Non-Tariff Zone No. 1 in the Chan May–Lang Co area. The decision was signed by Vice Chairman Phan Quy Phuong of the municipal People’s Committee, designating Chan May Infrastructure Development Joint Stock Company as the project investor.

Under the approved financing structure, the investor will contribute VND 217.8 Bn (about USD 8.3 Mn), representing 15% of the total investment, while the remaining VND 1.234 Trn (approximately USD 47.1 Mn) will be mobilised from other sources. The project will focus on building core infrastructure to support industrial and logistics activities within the Chan May–Lang Co economic zone.

Compensation, site clearance and land handover are scheduled between the Q1 of 2026 and the Q4 of 2027. Construction is expected to begin within three months after land lease and handover procedures are completed, with project completion targeted within 24 months of land transfer, around the Q4 of 2028.

HO CHI MINH CITY'S RING ROAD 3 TO 8 LANES WILL COST USD 2.28 BN TO UPGRADE

The Ho Chi Minh City People's Committee has recently sent a document to the Ministry of Construction requesting a review and consideration of the investment plan to complete the Ho Chi Minh City Ring Road 3 to the planned scale. The proposal, the route will be fully upgraded to an 8-lane expressway, including the My Phuoc - Tan Van section, approximately 15.3 km long, and Component Project 1A, approximately 8.75 km long, with the My Thuan Project Management Board as the investor.

Depending on local conditions, areas will be studied to propose appropriate investment scale and phasing. The upgrade of the route is expected to be implemented through investment methods such as public investment, Public Private Partnership (PPP) model, or other legal forms of investment. The preliminary total investment for completing the route to the planned scale is approximately VND 60 Trn (USD 2.28 Bn), with a capital structure including local budgets, central government support, and other legal sources of funding. The project is expected to be implemented in the period 2026 - 2030.

The Ho Chi Minh City Ring Road 3 construction project is being implemented in phases, with a total length of approximately 76.34 km, passing through Ho Chi Minh City and the two provinces of Dong Nai and Tay Ninh. The project is divided into 8 component projects, including 4 construction projects and 4 land clearance projects, managed by the People's Committee of Ho Chi Minh City and the People's Committees of Dong Nai and Tay Ninh provinces, and implemented under the public investment model.

The preliminary total investment for the Project is approximately VND 75.37 Trn (USD 2.87 Bn), including approximately VND 41.58 Trn (USD 1.58 Bn) for compensation, support, and resettlement; approximately VND 25.94 Trn (USD 986.5 Mn) for construction and equipment; approximately VND 3.1 Trn (USD 118.37 Mn) for project management, consulting, and other costs; and approximately VND 4.73 Trn (USD 179.85 Mn) for contingency costs.

The project is funded with 50% from the central government budget and 50% from the local government budget. Preparation and implementation began in 2022, with basic completion expected in 2025, and commissioning anticipated in 2026.

HERO FUTURE ENERGIES, VNEB TO DEPLOY ROOFTOP SOLAR AND BESS IN VIETNAM

Hero Future Energies (HFE) has signed a memorandum of understanding (MoU) with Viet Nam Electricity Business Joint Stock Company (VNEB) to deploy rooftop solar and battery energy storage systems (BESS) across industrial parks in Vietnam. The collaboration aims to provide reliable, cost-effective and sustainable power solutions to support the country’s rapidly growing industrial sector.

The partnership will combine HFE’s international renewable energy expertise with VNEB’s local market knowledge to develop solar-plus-storage projects that can help reduce industrial reliance on conventional power sources. The initiative also supports Vietnam’s broader efforts to expand clean energy adoption and decarbonise energy consumption within manufacturing and industrial operations.

VINENERGO TO BUILD A SOLAR POWER PLANT WORTH OVER USD 201 MN IN DIEN BIEN

The People's Committee of Dien Bien province issued a decision approving VinEnergo as the investor for the Dien Bien 1 Solar Power Plant project, covering an area of 509.5 hectares and with a capacity of 300 MW. The project has an estimated annual electricity output of approximately 482,411 MWh.

The project has an investment capital of VND 5.3 Trn (USD 201.1 Mn). Of this, the investor's contribution is VND 1.6 Trn (USD 60.7 Mn) (30%), and the remaining 70% will be raised through other sources. The project term is 50 years from the date of the decision to allocate land, the decision to lease land, or the decision to change the land use purpose.

HAI PHONG APPROVES USD 147 MN BRIDGE AND ROAD PROJECT

Vietnam’s port city of Hai Phong has approved a VND 3.86 Trn (USD 147 Mn) project to construct the Rao 3 bridge and a 4.2 km connecting road, aimed at improving connectivity and opening up development along the city’s southern coastline. The project is expected to play a key role in reshaping urban expansion and supporting the city’s growing logistics and industrial base.

The Rao 3 bridge will span the Lach Tray River and feature a 610-metre steel arch design with a main span of 344 metres. The six-lane bridge will also include two mixed-use lanes and pedestrian walkways. It will connect to a new urban corridor linking Bui Vien Street to Provincial Road 363, designed for speeds of up to 80 km/hr.

The project is intended to ease congestion on Provincial Road 353, currently the main route to southern Hai Phong, and improve access to coastal areas, industrial zones and service hubs. Once completed, the new corridor will serve as a primary development axis, unlocking land for urban and economic growth in the city’s southern and southeastern areas.

Funded entirely by the municipal government, construction is scheduled to run through 2029. The development forms part of Hai Phong’s broader infrastructure expansion strategy, as the city strengthens its position as a major logistics and manufacturing hub anchored by the Lach Huyen deep-water port.

EXPANSION OF NATIONWIDE ELECTRIC VEHICLE SUPER CHARGING INFRASTRUCTURE

V-Green is investing VND 10 Trn (USD 379.51Mn) to deploy 99 large-scale charging stations along national and provincial highways nationwide this year to serve electric vehicles.

This charging station infrastructure is capable of simultaneously charging 100 electric cars, with a charging time of 15 minutes using energy from wind and solar power, stored in battery energy systems (BESS) researched, developed, and manufactured by VinFast.

This company plans to install charging stations on major national and provincial highways across the country, meeting the needs of VinFast owners for long-distance, inter-provincial travel. Each station will be equipped with 100 charging guns with a power of 150 kW, contributing to the goal of achieving Net Zero by 2050.

PYLONTECH SIGNS 150 MWH ENERGY STORAGE DEAL IN VIETNAM

Pylon Technologies has signed a strategic agreement to deploy 150 MWh of battery energy storage systems (BESS) in Vietnam. The agreement, signed with DAT Group Joint Stock Company, will support large-scale energy storage deployment aimed at enhancing grid stability and facilitating renewable energy integration.

Vietnam is emerging as one of Southeast Asia’s fastest-growing energy storage markets, driven by increasing solar and wind capacity and supportive regulatory frameworks. The country’s storage capacity is projected to reach around 4 GW by 2030, with total market value expected to exceed USD 5 Bn.

Further supporting this momentum, the implementation of Circular No. 62/2025/TT-BCT on January 26, 2026, introduces a formal two-part tariff mechanism for battery energy storage systems (BESS). This policy is expected to accelerate energy storage adoption in Vietnam and serve as a reference for other Southeast Asian markets.

The 150 MWh system will help address intermittency challenges associated with renewable energy by storing excess electricity during peak generation and releasing it during periods of high demand or low output. This is expected to improve grid reliability and support Vietnam’s broader energy transition goals.

VIETNAM LAUNCHES 121 BORDER BOARDING SCHOOL PROJECTS

Vietnam has begun construction of 121 boarding schools in border areas. The projects correspond to 121 land border communes in provinces including Cao Bang, Lang Son, Tuyen Quang, Lao Cai, Lai Chau, Dien Bien, Thanh Hoa, Nghe An, Ha Tinh, Quang Tri, Hue, Quang Ngai, Dak Lak, Lam Dong, Tay Ninh, Dong Thap and An Giang. Total investment is estimated at about VND 30 Trn (about USD 1.14 Bn), with the central budget covering roughly VND 28 Trn (USD 1.06 Bn) and local authorities funding the remainder.

The schools aim to expand access to education from pre-school to grade 12, with the Ministry of Education and Training tasked with ensuring sufficient teachers and curricula. The programme is part of a broader plan to build boarding schools in 248 border communes, with all 121 projects expected to be completed and operational by the 2027-2028 academic year.

APM TERMINALS TAKES STAKE IN NORTHERN VIETNAM DEEP WATER-PORT

APM Terminals has moved from development partner to shareholder at the Hateco Hai Phong International Container Terminal (HHIT), taking a 49% stake and stepping in as operating partner alongside Vietnam’s Hateco Group.

The deal follows three years of joint work bringing the greenfield project to life. The terminal is now up and running and handling ships of up to 18,000 teu, marking a step change in capacity for northern Vietnam.

Located at Lach Huyen in Haiphong, HHIT is billed as the largest and most advanced deep-water facility in the region. The site has two deep-water berths and is positioned to handle direct services linking northern Vietnam with Europe and the US, cutting reliance on transhipment hubs. For APM Terminals, the move locks in a long-term position in a market where volumes have been climbing steadily.

APM has been involved in rolling out operating systems, automation and digital tools at the terminal, including the use of artificial intelligence and decarbonisation measures. HHIT has also been selected for the Gemini Cooperation network run by Maersk and Hapag-Lloyd, giving it a place on a new East–West service structure.

VIETNAM PLANS USD 18 BN GRID INVESTMENT TO SUPPORT ENERGY TRANSITION

The Government of Vietnam has announced plans to invest around USD 18 Bn in power transmission infrastructure between 2026 and 2030, a move seen as critical to supporting the country’s rapidly expanding renewable energy sector.

During a period 2017 to 2022, Vietnam experienced a rapid rise in renewable energy installations. Solar and wind capacity increased from almost zero to more than 20 GW within just a few years. This rapid expansion placed Vietnam among the leading renewable energy adopters in Southeast Asia. However, the national grid was originally designed to handle traditional power sources and is now struggling to manage the variable output from solar and wind energy. It is strengthening the grid will be essential to ensure that planned energy projects can be effectively delivered and integrated into the national power system.

Despite strong growth in renewable capacity, Vietnam continues to face significant transmission challenges. Grid bottlenecks remain a major concern, as the pace of renewable energy deployment has outstripped upgrades to transmission infrastructure, limiting the ability to efficiently distribute electricity across regions.

Overall, the planned investment and policy reforms are expected to play a key role in strengthening Vietnam’s energy infrastructure and enabling a more reliable and scalable transition toward renewable power.

VIETNAM PLANS TWO RENEWABLE ENERGY HUBS BY 2030 UNDER REVISED JETP ROADMAP

The Government of Vietnam has announced plans to develop two renewable energy industry and service hubs by 2030 under its revised Just Energy Transition Partnership (JETP) roadmap.

Under the updated strategy, renewable energy is expected to account for around 47% of total installed power capacity by 2030, while emissions from the power sector will be capped at approximately 170 million tonnes of CO₂ equivalent. The plan aligns with the country’s broader power development framework for 2021–2030 and its long-term energy transition vision.

The government aims to establish a comprehensive regulatory and policy framework to attract investment across key segments such as offshore wind, solar power, and energy storage. It also plans to collaborate with international partners to upgrade transmission infrastructure and deploy smart grid systems to support large-scale renewable integration.

Looking ahead, Vietnam has set a long-term target of increasing renewable energy’s share to as much as 85% of total primary energy by 2050. This will be supported by the gradual phase-out of ageing coal-fired power plants and continued policy reforms to accelerate clean energy deployment.

EU TO MOBILISE OVER USD 1 BN FOR INFRASTRUCTURE PROJECTS IN VIETNAM

The European Union has announced plans to mobilise more than USD 1 Bn for major infrastructure projects in Vietnam, focusing on sustainable transport and energy transition initiatives.

As part of this effort, the EU has launched a USD 46.4 Mn Sustainable Transport Development Fund aimed at supporting large-scale projects such as the North–South high-speed railway, inland waterways, and urban transport systems. The fund is expected to catalyse additional financing from banks, development institutions, and private sector partners.

Beyond the transport fund, the EU has already committed over USD 580 Mn to Vietnam’s clean energy and sustainable transport sectors. This includes a USD 232 Mon credit line from the European Investment Bank to Techcombank to support small and medium-sized enterprises investing in renewable energy, energy efficiency, and electric mobility. Additional funding of nearly USD 267 Mn will support the Bac Ai pumped-storage hydropower project in Ninh Thuan, developed by Vietnam Electricity, marking the country’s first facility of its kind. The EU has also contributed to projects such as the extension of Hanoi Metro Line 3 and is expected to support the development of the Lien Chieu container port in Danang.

EVN SIGNS POWER DEAL FOR 1,200 MW LNG PLANT IN HO CHI MINH CITY

State utility Vietnam Electricity (EVN) and Hiep Phuoc Power Company Limited have signed a power purchase agreement (PPA) for the Hiep Phuoc LNG Power Plant – Phase 1 in Ho Chi Minh City, the second of its kind in Vietnam.

The Hiep Phuoc LNG Power Plant – Phase 1 is a national key project developed by Hiep Phuoc Power Company Limited under the build-own-operate (BOO) model. With a price tag of about VND 18.91 Bn (USD 718 Mn) and an installed capacity of 1,200 MW, the plant is expected to supply more than 7 billion kWh of electricity annually to the national grid. Vietnam has put the Nhon Trach 3 and 4 LNG power plants into commercial operation. With a combined capacity of 1,624 megawatts, the plants are designed to supply more than 9 billion kWh of electricity annually.

Under the adjusted Power Development Plan VIII, the country aims to add nearly 37,500 MW of new gas-fired power capacity, with LNG accounting for around 60%.

SINGAPORE FIRM LEADER ENERGY EYES USD 60.8 MN WIND POWER PROJECT IN CENTRAL VIETNAM

Leader Energy, a Singapore-based renewable energy firm, is targeting a VND 1.6 Trn (USD 60.75 Mn) wind power project in the central province of Gia Lai as it expands its footprint in Vietnam’s renewable energy market. The move comes after the Gia Lai People’s Committee granted in-principle approvals to four wind power projects on February 3, with the provincial Department of Finance now inviting investor registrations.

The consortium consisting of Hanoi-headquartered A Phat Construction and Development Investment Consultation JSC and Leader Energy (Vietnam) Pte. Ltd. is the only one registering to invest in the Ia Hla Wind Power Plant project.

The project will be developed on an area of 24.76 hectares in Ia Ko and Chu Puh communes, with a capacity of 40 MW and an estimated annual output of 119.46 mn kWh. Out of the total investment of VND 1.6 Trn (USD 60.75 Mn), VND 1.58 Trn (USD 59.99 Mn) is allocated to implementation costs.

NURIFLEX VIETNAM AND SINGAPORE POWER PARTNER TO DEPLOY 20 MWP SOLAR FOR INDUSTRIAL MANUFACTURING

NuriFlex Vietnam has entered into a partnership with Singapore Power Group to support the expansion of renewable energy solutions in Vietnam. The collaboration focuses on deploying rooftop solar systems across industrial facilities, marking an important step toward strengthening the country’s green energy infrastructure. A key part of this initiative is a Power Purchasing Agreement (PPA) signed with TKG Taekwang Vina, which operates large-scale manufacturing plants in the count

Under this agreement, rooftop solar systems with a total capacity of up to 20 MWp will be installed across three of the company’s major factories. These facilities are significant in scale, operating 56 production lines and employing around 65,000 workers. The project is designed to show how renewable energy can be integrated into large industrial operations without affecting productivity. It also reflects a growing trend among manufacturing companies to adopt cleaner energy sources as part of their sustainability strategies. Once completed, the solar installations are expected to generate more than 28,000 megawatt-hours of electricity every year. This will meet over 10% of the total energy demand of the three factories. In addition to reducing reliance on conventional power sources, the project is expected to cut carbon emissions by more than 22,000 tons annually. These reductions will contribute to both environmental protection and improved energy efficiency within the manufacturing sector.

List of Key Transactions - Q1 2026

Source: YOG INFRA analysis

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