Infrastructure & PPPs in Vietnam - Q4 2025 Update

YOG INFRA
1 day ago
25 min read

Vietnam continued to advance major investments in transport and urban infrastructure during Q4-2025, including metro and railway projects in Ho Chi Minh City, Danang–Hoi An, Ben Thanh–Can Gio and cross-border rail connectivity with Laos, alongside multiple airport developments and upgrades across the country.

We also see a strong focus on logistics connectivity, ports, and strategic transport links aimed at supporting trade and regional integration. In parallel, Vietnam sustained momentum on its energy transition agenda through LNG-fired power projects, waste-to-energy facilities, emissions trading initiatives, and green building standards aligned with its net-zero 2050 targets. These investments are expected to be partially supported through private sector participation and Public-Private Partnerships (PPPs).

Read the latest developments in Infrastructure and PPPs in Vietnam in our Q4 2025 insight.

OCTOBER 2025

VIETNAM EXPLORES EMISSIONS TRADING SYSTEM (ETS) PILOT TO ACCELERATE CLEAN ENERGY TRANSITION

Vietnam has taken significant steps toward establishing an Emissions Trading System (ETS) to accelerate its transition to a low-carbon economy. The initiative aims to provide industries—particularly within the thermal power sector—with greater flexibility in meeting greenhouse gas (GHG) reduction goals, either through investment in cleaner technologies or by purchasing carbon credits. The ETS development is part of the “Development and Impacts Assessment of Carbon Credit and Allowance Governance Mechanism in Vietnam” programme, implemented by Green Climate Innovation in collaboration with Energy and Environment Consultancy JSC, South Pole Group, and a team of experts. The programme assessed governance options for Vietnam’s ETS pilot phase. Nine scenarios were evaluated, aligned with the country’s unconditional and conditional Nationally Determined Contribution (NDC) targets and the Just Energy Transition Partnership (JETP) goal.

The study assessed various design options for the pilot ETS, including cap-setting, allowance allocation, and offset credit use, across nine scenarios aligned with Vietnam’s NDC and JETP commitments. Findings from the assessment indicate that an ETS with up to 30% offset use could substantially reduce Vietnam’s compliance costs for achieving its unconditional NDC target, lowering expenses from USD 420.5 Mn to USD 68.9 Mn. For the conditional NDC target, costs could drop from USD 1.297 Bn to USD 879.8 Mn, while also mitigating GDP losses and inflationary pressures. The coal-fired power sector is expected to remain the largest participant, responsible for up to 90% of market transactions. Carbon credit prices are projected to range from USD 0.90–2.00 per credit under unconditional NDC conditions and USD 3.40–3.70 under conditional targets.

HAIPHONG–HA LONG–MONG CAI RAILWAY PLANNED TO BE DEVELOPED AFTER 2030

Haiphong–Ha Long–Mong Cai railway line, spanning approximately 187 km, will be developed after 2030 under the national railway master plan for 2021–2030 with a vision to 2050. The line, starting from Nam Dinh Vu station in Haiphong and ending in Mong Cai (Quang Ninh), will use a 1,435-mm standard gauge and be fully electrified. Once developed, the line is expected to strengthen trade connectivity with Dongxing in China, boost regional logistics efficiency, and facilitate stable, sustainable export channels for agricultural, forestry, and seafood products from Vietnam to China.

Currently, the Haiphong–Ha Long–Mong Cai corridor is served mainly by waterways and roads. Waterway transport remains dominant due to its low cost, while road connectivity has improved significantly with the opening of the Ha Long–Mong Cai expressway. Under the master plan, the corridor will eventually integrate all three transport modes—sea, road, and rail—to enhance multimodal capacity. Ministry of Construction has assigned the Vietnam Railway Authority to work with Chinese authorities to develop a detailed alignment plan for the cross-border section. This collaboration aims to ensure seamless integration with China’s railway network and strengthen trade corridors between the two countries.

ACV PROPOSES EARLY CONSTRUCTION OF THIRD RUNWAY AT LONG THANH AIRPORT

The Airports Corporation of Vietnam (ACV) submitted a proposal to accelerate the construction of the third runway at Long Thanh International Airport in Dong Nai Province, part of the airport’s phase 2 development. Phase 2 plans include three runways and two passenger terminals, targeting an annual capacity of 50 million passengers and 1.5 million tonnes of cargo. The third runway, 4,000 meters long and 60 meters wide, will accommodate large aircraft such as the Airbus A380.

Starting the third runway immediately after the second runway’s completion in the 2025–26 dry season would save costs, reduce mobilisation time, and minimise disruptions once phase 1 becomes operational in early 2026. Phase 1, featuring the first runway, will begin commercial operations in the first half of 2026, with an initial capacity of 25 million passengers and 1.2 million tonnes of cargo.

The total estimated cost for the third runway is VND 12 Trn (USD 455 Mn), to be fully funded through ACV’s legal capital without government guarantees. ACV has also requested approval to act as the investor for the entire phase 2, including hiring an international consultant to prepare and verify the project’s feasibility report, which will be submitted to the government and National Assembly for approval. Once fully completed, Long Thanh Airport is expected to handle up to 100 million passengers and five million tonnes of cargo annually, significantly relieving congestion at Tan Son Nhat International Airport and strengthening Vietnam’s position as a regional aviation hub.

CT GROUP PROPOSES USD 12 BN HO CHI MINH CITY–CAN THO–CA MAU HSR

CT Group JSC has proposed a USD 12 Bn railway project linking Ho Chi Minh City, Can Tho City, and Ca Mau Province. The company has submitted a proposal to Prime Minister Pham Minh Chinh and the Ministry of Construction, seeking approval to prepare a pre-feasibility report and implement the project under a Public-Private partnership (PPP) model.

The line is planned to operate at speeds of 200–250 km/h, potentially reaching 350 km/h in future phases. The project will have double-track, standard gauge (1,435 mm), fully electrified line and will carry both passengers and freight. It will begin at Thu Thiem Station, connecting with the North–South high-speed railway and Long Thanh International Airport, before extending southward in two phases:

Phase 1 being 160 km connecting to Can Tho
Phase 2 being 120 km connecting to Ca Ma

CT Group partnered with China Railway Design Corporation for feasibility studies and Power Construction Corporation of China for EPC model exploration. An 80:20 Public Private Partnership (PPP) structure, with the government funding 80% through public investment and CT Group contributing the remaining 20% is expected. To finance its share, the firm plans to allocate 75% of land development revenue from 800 hectares across key station areas in Ho Chi Minh City, Can Tho, and Ca Mau. Construction is expected to begin in 2027 after feasibility and environmental studies conclude in 2026–27, with commercial operations targeted for 2031–32.

AFD COMMITS USD 550 MN FOR VIETNAM’S ENERGY TRANSITION AND LOW-EMISSION TRANSPORT DEVELOPMENT

France-based Agence Française de Développement (AFD) has announced a USD 550 Mn commitment to support Vietnam’s energy transition and sustainable growth agenda. The new funding will accelerate renewable energy expansion and low-emission transport initiatives under the Just Energy Transition Partnership (JETP). More than half of the pledged amount has already been mobilised through AFD-led projects.

Over the past 30 years, AFD has financed nearly 120 projects in Vietnam, channelling more than USD 3.3 Bn toward green energy, infrastructure, and climate resilience. The agency’s next strategic phase will focus on three key pillars — sustainable energy, low-emission transport, and climate change adaptation — to help Vietnam achieve net-zero emissions by 2050 and transition to a high-income, climate-resilient economy by 2045–2050.

The renewed partnership follows the elevation of Vietnam–France relations to a comprehensive strategic partnership, reflecting both nations shared goal of building a low-carbon and sustainable future.

DANANG PLANS METRO LINE BETWEEN HOI AN AND AIRPORT

Danang City has announced plans to develop a metro line connecting Danang International Airport and Hoi An as part of its urban railway development plan through 2045. The initiative, led by the People’s Committee of Danang City, aims to enhance public transport connectivity and support sustainable urban growth in central Vietnam. The project will be financed through a combination of public investment, official development assistance (ODA), and Public–Private Partnerships (PPP) model.

The metro development will be implemented in two phases. The first phase (2025–2030) will include the LRT2 line from Danang International Airport to My Khe Beach (7 km) and the MRT 2 line from Vietnam-Korea University to Danang Railway Station (17 km). The second phase, to commence after 2030, will extend services to Hoi An, Tam Ky, and the Chu Lai Economic Zone. Additionally, a new route will link the proposed national high-speed railway station with Danang’s central metro station, integrating national and local transport networks.

MASTERISE GROUP PROPOSES DEVELOPMENT OF HCMC METRO LINE 3 UNDER PPP MODEL

Ho Chi Minh City–based Masterise Group has submitted a proposal to the Ho Chi Minh City People’s Committee to develop Metro Line 3 under a Public–Private Partnership (PPP) model using a build–transfer (BT) contract. The company seeks approval to prepare an investment plan and has committed to self-financing the preparation of proposal dossiers, bearing all associated costs and risks if the project is not approved.

The proposed Metro Line 3 will span 45.8 km, connecting An Ha in the former Binh Chanh District to the Hiep Binh Phuoc depot in the former Thu Duc City. The route will run along key transport corridors including An Ha, Le Minh Xuan, Tan Kien Station, National Highway 1, Kinh Duong Vuong, Hong Bang, Hung Vuong, Cong Hoa Roundabout, Nguyen Thi Minh Khai, Xo Viet Nghe Tinh, and National Highway 13. Land acquisition for the line will be undertaken in a single phase, and total investment will be finalized after design completion.

DONG NAI PROVINCE APPROVES USD 1.45 BN PLAN TO LINK HO CHI MINH CITY AND LONG THANH AIRPORT

Dong Nai authorities have approved 3 projects to improve connectivity of Ho Chi Minh City and Long Thanh Airport. The three projects which are approved are:

1) Huong Lo 2 Road (Phase 2)

The provincial People's Council approved the investment plan for the second phase of Huong Lo 2, which will run from National Highway 51 to the HCMC–Long Thanh–Dau Giay Expressway. The project is worth over VND 5.9 Trn (USD 223.86 Bn) under a Public-Private Partnership (PPP) model, includes VND 573 Bn (USD 21.74 Mn) in state funding for land clearance. Huong Lo 2 spans about 15.5 kilometres. The first phase, from National Highway 51 to Vam Cai Sut Bridge, began construction in 2020. The second phase, extending 7.5 kilometres from Vam Cai Sut Bridge to the expressway, is set to finish by 2028.

2) Dong Nai 2 (Long Hung) Bridge

It will span 12 kilometres, including a 2.3-kilometer bridge section, linking National Highway 51 (Tam Phuoc Ward) to Ring Road 3 (Long Phuoc Ward). It will also feature six motor lanes and two for light vehicles, with a total investment of about VND 11.76 Trn (USD 446.20 Bn). Bridge is being constructed under PPP model with consortium of Construction Corporation No. 1 - JSC - CC1 Investment Joint Stock Company - Southern Infrastructure and Energy Joint Stock Company.

3) The Cat Lai Bridge

It will stretch 11.6 kilometres, including a 3-kilometer main span. Designed for speeds up to 80 kph, it will feature six lanes for motor vehicles and two for non-motorized traffic. The bridge will connect Nguyen Thi Dinh Street in HCMC's Cat Lai Ward with Dai Phuoc Commune in Dong Nai. With an estimated cost of over VND 20.5 Trn (USD 777.82 Bn), construction is expected to finish in 2028. Dong Nai authorities have approved CC1 as the investor for the Cat Lai Bridge PPP project.

HAI PHONG TO INVEST USD 800 MN IN NEW EAST–WEST EXPRESSWAY

Hai Phong Port City in northern Vietnam plans to invest VND 19 Trn (USD 720 Mn) in a high-speed road connecting its eastern and western regions, aiming to shorten travel time and spur socio-economic development. Under the plan, the 23.5-kilometre route will start at the intersection between the city's Ring Road No.1 and the access road to Bui Thi Xuan Bridge, and end at the intersection between National Highway 10 and Nguyen Truong To Street.

The road will feature six lanes designed for a maximum speed of 80 km per hour, along with two parallel lanes for motorcycles and smaller vehicles, allowing a maximum speed of 60 km per hour. The project is proposed for implementation under a Public-Private Partnership (PPP) model and a build-transfer (BT) contract, with 100% of capital mobilized from investors.

Once completed, the new route is expected to significantly reduce travel time between Hai Phong’s western urban center and the city’s downtown area, while enhancing connectivity to key economic, industrial, seaport, aviation, and logistics hubs.

HCM CITY PLANS TWO LAND RECLAMATION PROJECTS IN CON DAO

HCM City authorities plan to develop two major land reclamation projects on Con Dao Island as part of a broader strategy to expand urban space, develop infrastructure, and boost tourism in one of Việt Nam’s most iconic island destinations. The projects, located in the southeastern Suoi Ot-Co Ong area and the Con Dao town centre, are included in the city’s newly revised Con Dao master development plan to 2045, approved by the municipal People’s Committee. Both projects will be developed under Public-Private Partnership (PPP) models by 2030, with the reclaimed land to be used for urban, tourism, and public service facilities.

Con Dao is an island district of former Ba Rịa-Vung Tau Province (now part of HCM City) covers nearly 76 square kilometres across 16 islands about 230 km from the mainland. Once known primarily as a former prison site during the 19th and 20th centuries, it has transformed into a popular eco-tourism and heritage destination.

The overall development strategy prioritises key infrastructure such as cargo and passenger ports, marinas, major transport routes, and cultural and tourism zones, while ensuring protection of the island’s forest and marine ecosystems. Total investment capital is estimated at VND 66.1 Trn (USD 2.5 Bn), including more than VND 21 Trn (USD 850 Mn) from public investment. The city’s Department of Planning and Architecture will coordinate implementation to ensure that projects align with environmental conservation goals and preserve Con Dao’s unique natural landscape.

VIETNAM TO INTRODUCE NATIONAL GREEN BUILDING STANDARDS

Vietnam’s Ministry of Construction (MoC) has announced plans to develop the country’s first national green building standards, aimed at aligning the construction industry with its net-zero goals and promoting sustainable urban growth. The green buildings and transport are central to Vietnam’s green economy, noting that over 600 certified projects now cover 17 million sq m nationwide, alongside rapid adoption of electric cars and buses.

The MoC is drafting the green building criteria to ensure public and transparent implementation. Officials acknowledged progress in policy and legal frameworks but cited challenges such as limited awareness beyond major cities, low access to green financing, high investment costs, and insufficient skilled personnel. The ministry plans to address these through preferential financing, workforce training, and awareness campaigns promoting eco-friendly materials and technologies.

Experts from government and international organisations, including the IFC, stressed that green construction is crucial for emissions reduction, resilience, and competitiveness. Buildings account for up to 40% of global energy-related emissions. IFC support Vietnam’s transition through initiatives such as the EDGE certification and climate-risk assessment tools.

NOVEMBER 2025

HO CHI MINH CITY TARGETS 232 KM OF URBAN RAIL COMPLETION BY 2030

Ho Chi Minh City (HCMC) plans to complete approximately 232 km of urban railway lines by 2030, with an estimated total investment of USD 19.67 Bn. The six priority projects for the 2025–2030 period include

Metro Line 2 (Ben Thanh – Tham Luong)
Metro Line 2 (Ben Thanh – Thu Thiem)
Thu Thiem – Long Thanh railway
Binh Duong New City – Suoi Tien urban railway
Thu Dau Mot City – HCMC urban railway
Metro Line 6 (Tan Son Nhat Airport – Phu Huu) (Phase 1)

The projects will be funded partly by central and city budgets, covering around 66% of capital needs. Additional financing is expected through Transit-Oriented Development (TOD) land funds and Public–Private Partnership (PPP) models using build–transfer (BT) contracts. A state-owned Urban Railway Corporation may also be established to oversee investment, operation, and management. Departments are instructed to coordinate with investors, accelerate work, and prioritize resettlement housing for affected communities.

The city’s urban rail network currently comprises 27 routes totalling 1,024 km, while the national railway network in HCMC includes seven routes spanning 547 km. Authorities aim to integrate these lines with the city’s master plan and TOD framework to ensure coordinated urban growth and improved connectivity.

VIETNAM PLANS EXPANSION TO 36 AIRPORTS BY 2050

The Civil Aviation Authority of Vietnam (CAAV) has proposed expanding the national airport system to 36 airports by 2050, with capacity to serve 540 million passengers annually. Under the revised master plan submitted to the Ministry of Construction, the CAAV recommends 33 airports by 2030, handling around 297 million passengers, increasing to 36 airports by 2050. The plan requires approx. VND 500 Trn (USD 19.23 Bn) in investment from state budget, private capital, and other legal sources by 2030.

The expansion includes the construction of two new airports—Mang Den Airport in Quang Ngai (level 4C, 350 ha, VND 5 Trn) and Van Phong Airport in Khanh Hoa (level 4E, 500 ha, VND 9.2 Trn)—and upgrading Quang Tri Airport from level 4C to 4E. Total land area for airports is expected to increase to over 26,600 ha by 2030 and around 27,800 ha by 2050. The plan aims to improve regional development, tourism, logistics, connectivity, and national security in the South‑Central and Central Highlands regions.

The CAAV-led expansion is part of Vietnam’s broader aviation strategy to strengthen domestic and regional connectivity, enhance airport capacity, and support long-term economic growth. The investments are expected to facilitate passenger handling efficiency, modernise airport infrastructure, and integrate new airports with existing air and ground transport networks.

VIETNAM PROPOSES INTEREST FREE LOANS, 30-YEAR TERMS FOR HIGH-SPEED RAILWAY INVESTORS

The Ministry of Construction has proposed a set of special mechanisms and policies for the North-South high-speed railway project, including loans with 0% interest for up to 30 years and several financial and tax incentives to attract investors.

For Public-Private Partnership (PPP) projects, the state capital contribution would not exceed 80% of the approved total investment. Vietnamese commercial banks would be exempt from credit exposure limits on loans to investors under this scheme. These loans would not count toward the banks’ total credit exposure for those borrowers. Investors would be exempt from import duties on machinery, equipment, railway vehicles, spare parts, and materials that serve the construction, renovation, maintenance, or operation of the railway infrastructure - provided such items cannot be produced domestically or do not meet technical specifications.

The draft also outlines a revenue risk-sharing mechanism for PPP investors. Specifically, for the first three years after operation begins, the government would cover 100% of the revenue shortfall between actual income and the revenue forecast in the financial plan. The shortfall would be paid from state budget surpluses, unused central budget allocations, or annual public investment plans. From the fourth year onward, revenue-sharing would follow standard PPP investment laws. The maximum project payback period would be capped at 70 years.

CTP PLANS LARGE INDUSTRIAL-LOGISTICS PROJECT IN NORTHERN VIETNAM PORT CITY

CTP, a Dutch-led industrial park developer is exploring a large integrated complex combining seaports, an airport, logistics facilities and industrial parks in the northern port city of Hai Phong. The company plans to partner with Kinh Bac City Development Holding Corporation, one of Vietnam’s largest industrial park developers.

CTP had surveyed several provinces before selecting Hai Phong, citing its rapid economic expansion, strong transport infrastructure, and recent success hosting major events including ABAC 3 and the 2025 investment promotion conference. CTP aims to serve as a bridge connecting Hai Phong with global corporations in high technology, semiconductors, and logistics.

The parliament's newly issued Resolution 226 grants Hai Phong enhanced incentives, including corporate income tax of 10% for up to 30 years in the free-trade zone, a 50% personal income tax cut for 10 years, and 10-year visa exemptions for highly skilled foreign workers. The free-trade zone will operate under a streamlined “one-stop” administrative model emphasizing post-inspection. CTP plans to invest about EUR 1 Bn (USD 1.16 Bn) in Vietnam in the coming years. The investment will focus on localities with potential for industrial and logistics development.

SINGAPORE-BACKED VSIP EYES LARGE URBAN-INDUSTRIAL COMPLEX IN SOUTHERN VIETNAM

A new Urban-Industrial complex named Moc Bai Xuyen along the Tay Ninh-Binh Duong economic corridor in southern Vietnam is planned by consortium involving VSIP, a joint venture between local developer Becamex IDC and Singapore’s Sembcorp. The project is positioned to connect directly with the Moc Bai border gate economic zone and serve as a next-generation investment hub focused on digital technology, clean energy, and eco-industrial development aligned with carbon-neutral standards. Under then plan

Phase 1 (2025-2030) - It will develop three industrial parks totalling about 1,500 hectares in Thanh Duc commune. The consortium will also work on adjacent urban areas, upgrade electricity and water infrastructure, integrate renewable energy systems, and build a 30-km Moc Bai-Xuyen A road.
Phase 2 (Post 2030) - It will complete the industrial and residential components, expand supporting services and logistics, add social housing, and finalize the broader urban-industrial ecosystem.

The consortium and provincial authorities will also study two major infrastructure projects under potential Public-Private Partnership (PPP) models : the Bau Bang-Moc Bai railway and a new road. The Tay Ninh-HCMC economic corridor is expected to evolve into a strategic cross-border logistics artery connected to the Cai Mep-Thi Vai port complex and Long Thanh International Airport. Long An and Tay Ninh provinces were merged in July to form the new Tay Ninh which borders Dong Nai, Dong Thap, Ho Chi Minh City, and Cambodia.

200 MW DATA CENTER CAMPUS PROPOSED IN HO CHI MINH CITY

Kinh Bac City Development Holding Corporation (KBC) signed a Memorandum of Understanding (MoU) with Accelerated Infrastructure Capital (AIC) and Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank) to develop an AI data center complex in Ho Chi Minh City.

The companies aim to develop a 10-hectare, 200 MW campus in Tan Phu Trung Industrial Park. The project could see up to USD 2 Bn invested, which will be funded via equity and commercial loans, in which the equity capital is contributed by KBC, AIC, and partners.

The project is expected to enhance HCMC’s digital infrastructure, positioning the city as a regional hub for data centers and artificial intelligence. Under the MoU, the three parties will leverage their respective strengths to jointly implement the project’s initial phase and consider expansion to other locations nationwide in subsequent stages. Vietnam has an improving legal framework, a strategic location, robust connectivity, and growing data demand driven by AI, cloud computing, fintech, and e-commerce, which create a stable and promising market.

VIETNAM EXPLORES DUAL-USE AIRPORT IN THO CHAU SPECIAL ZONE

The Government of Vietnam has visited Tho Chau Special Zone in An Giang Province to assess development opportunities, including the feasibility of building a dual-use airport. The zone, consisting of eight islands and covering 13.98 km square, is strategically located about 110 km from Phu Quoc Special Zone and 220 km from the provincial administrative center. The area faces challenges such as limited electricity, water supply, and connectivity.

Plans include constructing stable residential areas, upgrading roads, improving water and electricity supply, and exploring telecommunications and seaport connections. The Ministry of National Defense was advised to study the feasibility of a dual-use airport and upgrade two dual-use fishing ports to support logistics, while maintaining a strong defense posture in the Southwest maritime region.

Tho Chau Special Zone is envisioned as a strategic pillar for Vietnam, integrating eco-tourism, fisheries, and high-tech marine development while ensuring national security. The leadership highlighted the importance of community solidarity, adherence to legal regulations, and investment attraction to achieve sustainable socio-economic development in the zone.

DECEMBER 2025

VINGROUP PROPOSES CAN GIO-VUNG TAU SEA CROSSING BIDGE-ROAD PROJECT

Vingroup has submitted a pre-feasibility study to Ho Chi Minh City authorities for a sea-crossing bridge-road project linking Can Gio with Vung Tau, with a total estimated investment of VND 104.41 Trn (USD 3.96 Bn). The project is proposed under a Public–Private Partnership (PPP) structure using a build–transfer (BT) model, with construction targeted to begin in 2026 and completion planned for 2029.

The proposed link will be 14.6 km long, comprising a 10.8 km sea-crossing bridge and a 3.8 km road section. The alignment is designed with a width of 22.5 metres, four vehicle lanes and two mixed-use lanes. The bridge will adopt a cable-stayed configuration with a 600 m main span and a navigational clearance of 55 m to accommodate large vessels.

The route will start from Bien Dong 2 Street in the Can Gio sea-encroachment urban area, cross Ganh Rai Bay and connect to Vung Tau via the planned Mai Sao–Ben Dinh road, terminating at the intersection with 30/4 Street in Tam Thang ward. The project will require approximately 137.5 hectares of land, with water surface requirements to be determined. Travel time between Can Gio and Vung Tau is expected to be reduced to just over 10 minutes.

The project is intended to unlock the economic potential of Can Gio and the Long Son–Vung Tau area by improving access for eco-tourism, industrial development, port activities and logistics. The link is also expected to ease congestion on National Highway 51 and Road 965 and support the expansion of the Cai Mep–Thi Vai port complex, following the administrative merger of Ho Chi Minh City, Ba Ria–Vung Tau and Binh Duong provinces.

PHU QUOC TO UPGRADE INTERNATIONAL AIRPORT AND DEVELOP USD 341 MN URBAN RAIL LINE

The authorities of Vietnam have launched a series of major transport infrastructure projects in Phu Quoc. Key developments include the comprehensive upgrade of Phu Quoc International Airport and the construction of an 18 km urban rail transit line with a total investment of USD 341 Mn.

Phu Quoc International Airport is being upgraded to ICAO 4E standards, with capacity expanded to accommodate wide-body aircraft, 120 aircraft parking stands and up to 20 million passengers per year. Passenger and VVIP terminals will be equipped with advanced Total Airport Management systems, biometric processing and automated baggage handling. The Phase 1 urban rail line will span 18 km with six stations, including one underground station, and is designed to transport over 4,500 passengers per hour. In parallel, the 19.26 km DT.975 arterial road is being expanded to six lanes, with 15 m reserved for an electric tramway.

Together, these investments aim to strengthen international connectivity, reduce intra-island travel times and support Phu Quoc’s growth as a regional transport and tourism hub during the 2025–2030 period.

PROPOSED LAOS-VIETNAM RAILWAY PROJECT CONSTRUCTION TO BEGIN IN 2026 WITH OPERATIONS TARGETED FOR 2030

Construction of the first cross-border railway linking the two countries will begin in 2026, with commercial operations targeted for 2030. The project is being developed as a Public–Private Partnership (PPP) model between Petroleum Trading Lao Public Company (PTL) and Vietnam’s Deo Ca Group JSC, with a total estimated investment of USD 6.6 Bn.

The railway will span 452 km within Laos and 119 km in Vietnam, connecting Vientiane with Vietnam’s Vung Ang Port in Ha Tinh province. The line will provide Laos with direct maritime access for the first time and is intended to support bulk cargo, container traffic and regional freight logistics. Preparatory works in Laos, including feasibility studies, detailed surveys, environmental assessments and financing arrangements, have reached about 90% completion. Construction on the Vietnamese section is expected to begin in 2027 following final economic evaluations and design approval.

The project is positioned as a strategic logistics corridor under bilateral economic cooperation frameworks between Laos and Vietnam. In addition to rail connectivity, the agreement grants Laos priority access to Wharves 1, 2 and 3 at Vung Ang Port, which currently has a handling capacity exceeding six million tonnes per year following the commissioning of Wharf 3 in April 2025. Once operational, the railway is expected to lower transport costs, improve export competitiveness and strengthen regional supply chains across mainland Southeast Asia.

VIETNAM PROPOSES USD 10 BN CHU LAI AIRPORT AND AVIATION HUB NEAR DA NANG

Da Nang authorities have submitted a proposal to the central government to develop Chu Lai Airport into a large-scale aviation and economic hub under a Public–Private Partnership (PPP) model, with total investment estimated at USD 10 Bn. The plan includes USD 3.3 Bn for a new international-standard airport and USD 6.7 Bn for associated commercial and industrial developments.

The proposal covers construction of a next-generation airport meeting ICAO Code 4F standards, alongside an integrated “airport ecosystem” comprising a 225-hectare free-trade zone, a 360-hectare industrial park and a 185-hectare eco-service urban area. The development would significantly expand passenger and cargo handling capacity and position Chu Lai as a major logistics and aviation node in central Vietnam.

Chu Lai Airport is located within the Chu Lai Open Economic Zone between Da Nang and Quang Ngai. Under Vietnam’s national airport master plan, the airport is targeted to handle 10 million passengers and 1.5 million tonnes of cargo annually by 2030, rising to 30 million passengers by 2050. Da Nang has requested to act as the authorised state agency for the PPP, while an alternative option would see Airports Corporation of Vietnam (ACV) invest in and operate the airport and its surrounding developments.

VIETNAM APPROVES USD 150 MN AIRPORT PROJECT TO EXPAND ACCESS TO BEACH RESORT TOWN

Vietnam has approved VND 3.8 Trn (USD 150 Mn) to develop the civil aviation component of Phan Thiet Airport, aiming to significantly improve air access to the popular coastal tourism hub of Mui Ne. Under the newly approved investment plan, the Lam Dong provincial government will seek a private investor through a competitive bidding process to build and operate the civil terminal and related infrastructure for 50 years. The investor must contribute at least 15% of the total capital, with the remainder raised from lawful financing sources.

The civil aviation zone will cover 74.6 hectares and is designed to handle ICAO Code 4E aircraft, including narrow-body jets such as the Airbus A321 and Boeing 737. By 2030, the airport is expected to serve around 2 million passengers annually, supporting domestic routes, limited non-scheduled international flights, and humanitarian or emergency operations.

Planned facilities include an apron with six aircraft parking stands, two connecting taxiways, a 45-meter air traffic control tower, an operations center, and modern lighting, navigation and meteorological systems. The passenger terminal will span 16,000–18,000 sq.m.

Phan Thiet Airport is a dual-use military–civilian project first planned in 2013, covering more than 543 hectares in total. While military facilities overseen by the Ministry of National Defense have already been completed, the civil aviation portion has faced delays in the past due to changes in scale and investment structure.

HANOI GREENLIGHTS USD 67.7 BN INFRASTRUCTURE PUSH INCLUDING SPORTS CITY DESIGN TO QUALIFY FOR HOSTING OLYMPICS

The Hanoi Party Committee unanimously endorsed the investment principles for the two projects, with a combined preliminary cost of about VND 1,800 Trn (USD 67.7 Bn). The proposed sports city, to be built in southern Hanoi, would cover more than 9,100 hectares across 11 communes and include competition venues, athlete facilities, and supporting transport and social infrastructure designed to international standards.

The complex would be designed to allow Hanoi to host major sporting events at regional and international level, including the Asian Games and the Olympic Games. The sports city alone is estimated to cost about VND 926 Trn (USD 35.2 Bn) and would be designed to accommodate a population of roughly 751,000.

The second project, a scenic boulevard along the Red River, would stretch from Hong Ha Bridge to Me So Bridge, covering about 11,000 hectares across 19 wards and communes. It carries a preliminary investment estimate of about VND 855 Trn (USD 32.5 Bn) and is expected to be completed by 2030.

BEN THANH–CAN GIO RAIL LINE PROPOSED TO BEGIN OPERATIONS IN 2028

Ho Chi Minh City has approved VinSpeed as the investor of the Ben Thanh–Can Gio railway project, with a total investment of approximately VND 102.43 Trn (USD 3.9 Bn). The project will be built under Public-Private Partnership (PPP) model and VinSpeed will contribute over VND 15.36 Trn (USD 583.25 Mn) in equity capital, while the remaining VND 87.06 Trn (USD 3.30 Bn), equivalent to around 85% of the total investment, will be mobilized from credit institutions and other permitted source. Total investment excludes about VND 12.78 Trn (USD 485.28 Mn) for site clearance, which will be covered by the State budget.

The project includes the construction of a double-track railway with a 1,435 mm gauge, fully electrified, with a main line length of approximately 54.062 km, a designed speed of 350 km/h, and a load of 17 tonnes per axle under the Public-Private Partnership. It consists of 2 stations in Phase 1 (Ben Thanh Station and Can Gio Station) and 4 stations in Phase 2 (to be built when needed, including Tan Thuan, Tan My, Nha Be, and Binh Khanh Stations). It also features one depot and one operations control center located in Can Gio Commune. The project requires a total of about 328.26 hectares of land.

The project's operating term is 70 years from the date of investment policy and investor approvals. Construction is expected to take 30 months from land handover, targeting operation in 2028, excluding the four stations in Phase 2. The rail line is intended to improve connectivity between central Ho Chi Minh City and Can Gio, where current access relies on the Rung Sac road through the Can Gio biosphere reserve. Demand for improved transport links is expected to rise as the Can Gio coastal urban area, and the planned international trans-shipment port are developed.

HANOI OPENS BID FOR USD 286 MN WASTE-TO-ENERGY PROJECT AT ITS LARGEST LANDFILL

The Department of Agriculture and Environment has invited investors to register for the shortlisting round of the Hanoi environmental remediation and waste-to-energy project, with an estimated cost of VND 7.53 Trn (USD 286.29 Mn). The project will handle sewage sludge, daily household waste, and legacy waste buried at the Nam Son site, using waste-to-energy technology. The initiative aims to reduce odor pollution in Soc Son district and restore landfill cells that have reached capacity.

Plans call for construction of a waste-to-energy plant with a processing capacity of 2,400 tons per day and a sludge-drying system capable of handling 600 tons daily, of which 150 tons will be dried and fed back into the incinerator. The project will also include transmission lines connecting to the national grid and accompanying infrastructure.

The project will occupy 12.46 hectares in the northern section of the phase-two Nam Son waste treatment complex. It will be developed under a Public-Private Partnership (PPP) model with no state capital, requiring investors to secure all financing. Hanoi expects the facility to be operational by the Q4 of 2029.

Nam Son landfill, in operation since 1996, handles most of Hanoi’s waste and has long been associated with towering garbage piles, foul odors, and leachate that have affected surrounding communities. Local authorities aim to excavate and treat all buried waste within the next 5-7 years, opening the path to convert the 500-hectare site into land for community use. With over eight million residents, Hanoi discharges around 7,500 tons of household wastes daily, according to urban waste collector Urenco.

QUANG TRI GREEN-LIGHTS USD 1.59 BN LNG POWER PROJECT

Quang Tri province has approved a USD 1.59 Bn liquid natural gas (LNG)-fired power scheme by Vietnam Electricity to boost local energy capacity. The Quang Trach III LNG-fired power plant, with a planned capacity of 1,500MW, will cost about VND 41.83 Trn (USD 1.59 Bn). Vietnam Electricity (EVN) will provide 20% of the funding through equity, while state-controlled Vietcombank will arrange loans for the remaining 80%.

Covering an area of 74 hectares in Phu Trach commune, the project is a part of the Quang Trach power centre and Vietnam’s adjusted National Power Development Plan VIII (PDP8). It is designed to use combined-cycle gas turbine technology. This venture will play a key role in boosting local socioeconomic development. For EVN, the approval reinforces plans to make Quang Tri a new energy hub in central Vietnam and marks a milestone in the rollout of major projects at the Quang Trach Power Centre.

Once completed, the plant is expected to help shore up national energy security, particularly during 2031-2035 as electricity demand in northern Vietnam rises, while improving the safety and stability of the power system in line with the adjusted PDP8. It would contribute about VND 1.2 Trn (USD 45.62 Mn) per year to the state budget, creating stable jobs for local workers, supporting auxiliary industries, and attracting more large-scale investors.

VIETNAM APPROVES GIA BINH INTERNATIONAL AIRPORT PROJECT

Vietnam’s National Assembly has approved the development of a new international airport in Bac Ninh Province, with an estimated investment of VND 196.4 Trn (USD 7.4 Bn). The project will be located at Gia Binh, around 45 km east of central Hanoi and about 65 km southeast of Noi Bai International Airport, and will be implemented with a minimum equity contribution of 15% from investors.

The Gia Binh airport will be developed on nearly 1,900 hectares of land, including more than 900 hectares of rice farmland to be acquired for construction. Designed as an ICAO Code 4F facility, the airport will be capable of handling wide-body aircraft and will serve both civilian aviation and national defense requirements.

The project will be overseen by the Ministry of Construction, with implementation aligned to Vietnam’s national airport master plan. Phase 1, targeted for completion by 2030, will provide capacity for 30 million passengers per year, with a long-term expansion plan to reach 50 million passengers annually by 2050. The airport is also expected to support Vietnam’s preparations for hosting the APEC Summit in 2027.

VIETNAM TO BUILD USD 1.1 BN BRIDGE TO CONNECT KET MEKONG DELTA EXPRESSWAY

Vietnam is preparing to build Can Tho 2, a major road-and-rail bridge across the Hau River with an investment of more than USD 1.1 Bn, with construction expected to start in late 2026 and take about five years to finish. Ministry of Construction is reviewing the prefeasibility study for the bridge and its approach roads. Key steps, including investment approval, project approval and contractor selection, are scheduled through 2026.

Designed as a combined road–rail link, Can Tho 2 will integrate with the future Ho Chi Minh City–Can Tho railway, forming part of a 17.5-km route. It starts at the Cha Va interchange in Vinh Long Province and ends at IC2 interchange in Can Tho, connecting directly to the HCMC–Ca Mau expressway.The main span will be a cable-stayed structure more than 1 km long, located about 4.5 km downstream from the current Can Tho Bridge. The bridge will have six lanes, 100 kph design speed, 300 m navigation clearance, plus approach roads with emergency lanes.

Total investment is estimated at VND 29.525 Trn (USD 1.12 Bn), covering construction and equipment, project management and consulting, and land clearance and resettlement. Seen as a strategic link in the North–South expressway network, Can Tho 2 will also connect the Chau Doc–Can Tho–Soc Trang and Ha Tien–Rach Gia–Bac Lieu expressway corridors. It will ease pressure on National Highway 1, boost trade and regional logistics, and strengthen economic, social and national security in the Mekong Delta.

List of Key Transactions - Q4 2025

Source: YOG INFRA analysis

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