Focus on investing in railway routes connecting with China
Recently, the Office of the Government has issued Document No. 57 / TB-VPCP announcing the conclusion of the Standing Government at the meeting on the Investment Project for the overall plan for investing in high-speed railways on the North-South axis. The conclusion also mentioned the investment content of some other national railway lines.
Specifically, the Standing Government requested the Ministry of Transport to lead, coordinate with the Ministry of Foreign Affairs and relevant agencies urgently working with China to agree on the minutes, support plan, investment cooperation on 03 railway lines Lao Cai – Hanoi – Hai Phong, Hanoi – Dong Dang, Ha Long – Mong Cai (coastal railway line extending from Nam Dinh – Thai Binh – Quang Ninh).
Early investment in Lao Cai – Hanoi – Hai Phong, Hanoi – Dong Dang, Mong Cai – Ha Long – Hai Phong routes, combined with cargo and passenger transportation. In the short term, it is necessary to focus on investing in the Lao Cai – Hanoi – Hai Phong routes (striving to start construction in 2025), study the plan to use preferential foreign loans (clearly determine: preferential loan interest rate, loan value and loan period) and bond issuance plan for investment.
Intermodal train carrying goods between the two countries. Image: VNR
In December 2023, on the occasion of the General Secretary and President of China Xi Jinping’s visit to Vietnam, the two countries signed 2 memoranda of understanding on cooperation in the field of railways, including:
Memorandum of Understanding between the Ministry of Transport of the Socialist Republic of Vietnam and the National Development and Reform Commission of the People’s Republic of China on enhancing cooperation between the Vietnam-China railway.
Memorandum of Understanding between the Ministry of Transport of the Socialist Republic of Vietnam and the International Cooperation and Development Committee of the People’s Republic of China on enhancing cooperation and development assistance for railroads across the Vietnam-China border.
At the same time, Vietnam and China have announced a Joint Statement on continuing to support the two countries’ railway enterprises to enhance cooperation and improve the efficiency of Vietnam’s transit through China.
In addition, the two sides will promote the connection of standard gauge railways across the Vietnam-China border, study the promotion of the construction of the Lao Cai – Hanoi – Hai Phong standard gauge railway, and study the standard gauge railway lines of Dong Dang – Hanoi, Mong Cai – Ha Long – Hai Phong at an appropriate time.
Scale of Vietnam – China railway connections
Lao Cai – Hanoi – Hai Phong Railway Line
According to the planning, the Lao Cai – Hanoi – Hai Phong railway line has a gauge of 1,435 mm, starting point at Lao Cai station, ending point at Lach Huyen – Hai Phong port.
The project is about 388 km long, connecting the Hekou railway (China) to Lao Cai (Vietnam) with a length of 5.6 km; constructed in an easterly direction through 8 provinces and cities including Lao Cai, Yen Bai, Phu Tho, Vinh Phuc, Hanoi, Hung Yen, Hai Duong, and Hai Phong; ending at Lach Huyen port (Hai Phong).
Illustration created by AI ChatGPT
On the route, there are 73 large bridges with a total length of over 130km, 25 tunnels with a length of 25km, 38 railway stations, including 29 new stations. It is expected that this railway line will operate in both passenger and freight transportation, with a total investment of about 10 – 11 billion USD.
The long-term transport capacity of the route is forecasted to be 10 million tons of cargo per year and operate 15 pairs of trains per day.
Hanoi – Dong Dang Railway Line
Dong Dang Station is the final station of the Gia Lam (Hanoi) – Dong Dang railway line, which is a particularly important station connecting with the international intermodal railway line to Binh Tuo (China).
This dual-gauge railway line runs from Dong Dang Station to Gia Lam (Hanoi) international intermodal station with a total length of about 167km and 21 stations along the entire line; it can handle a maximum of 19 trains per day and night.
Although it plays an important role in the import and export activities of goods between Vietnam and China, the infrastructure at Dong Dang border gate is evaluated as being deteriorated, not commensurate with its potential and strengths. Therefore, the issue of renovating, upgrading or building new Hanoi – Dong Dang railway line is urgently needed.
Illustration created by AI ChatGPT
Currently, China is studying a non-refundable aid to help Vietnam survey and develop a detailed plan for a standard gauge railway from Lang Son to Hanoi.
This contributes significantly to the transportation of goods and passengers between Vietnam and China and the ASEAN market, and plays a positive role in promoting economic and trade exchanges between Vietnam and China.
Hai Phong – Mong Cai – Halong Railway Line
This railway line is expected to contribute significantly to the import and export activities of goods between Vietnam and China at the border gates.
Currently, China has completed the railway line from Phong Thanh City to Dong Hung City bordering Móng Cái (Quang Ninh). In which, Móng Cái city will be the connecting center of the Vietnam-China railway.
Illustration created by AI ChatGPT
If the investment in the Ha Long – Mong Cai – Hai Phong railway system is realized, the cross-border trade at Móng Cái (Vietnam) and Đông Hưng (China) border gates is expected to develop strongly.
The final point of the Phong Thanh – Dong Hung high-speed railway line is near the Vietnam-China border, so when the Mong Cai – Halong – Hai Phong railway line is completed, it will create a closed railway network connecting from Hekou (China) – Lao Cai – Hanoi – Hai Phong – Halong – Mong Cai – Dong Hung (China). The closed railway network will contribute significantly to increasing the efficiency of transportation of goods and passengers between Vietnam and China and ASEAN.
According to Vietnam Railways (VNR), international intermodal railway transport activities between Vietnam and China have continuously increased over the years and become the top choice for many businesses.
In 2020, the volume of goods transported through railway border gates between Vietnam – China reached 864 thousand tons, in 2021 it reached over 1.1 million tons and in 2022, it reached nearly 1.3 million tons.
In 2023, despite facing many difficulties due to the general economic situation, an estimated volume of over 600 thousand tons of goods will still be reached.
“These results are achieved thanks to the close cooperation between the railways of the two countries over many years to promote international intermodal transportation,” said a representative of VNR to the press.
The goods transported by railway from Vietnam to China are very diverse, mainly fruits, agricultural products, ores… In the opposite direction, China also transports raw materials for production, consumer goods, machinery and equipment…
Through China’s railway infrastructure, Vietnam also transports tea, coffee, food to Russia, transports textiles, footwear to Europe…
