Positive signals from the Minister of Finance of Japan
Yesterday, on March 11, the Vietnamese delegation from the Ministry of Finance, led by Minister Ho Duc Phoc, had a meeting and working session with the Ministry of Finance of Japan. Minister Ho Duc Phoc informed Minister Shunichi Suzuki of Japan’s high-speed railway project, with an expected total investment of $67 billion.
The project will mobilize 30% of foreign capital and the remaining will be domestic capital. Therefore, Vietnam hopes that Japan will participate in financing this project.
Minister Ho Duc Phoc and Minister Shunichi Suzuki. Photo: Ministry of Finance
On the Japanese side, Minister Shunichi Suzuki highly appreciated the efforts of the Vietnamese Government in creating favorable conditions for Japanese businesses and banks to cooperate and invest in Vietnam. He also stated that large-scale projects, including the North-South high-speed railway project, are very important for the development of Vietnam. He expressed his interest and readiness to participate in the North-South high-speed railway project, as well as other infrastructure projects that Vietnam is preparing to implement.
In January, at the Government Headquarters, Prime Minister Pham Minh Chinh also met with Japanese Minister of Finance, Suzuki Shunichi, and requested that the Japanese Government support Vietnam in researching and constructing the North-South high-speed rail line. In response, Minister Suzuki Shunichi affirmed that the proposals from Vietnam are meaningful. Japan will study and coordinate to propose feasible solutions soon.
Preparing to present the North-South high-speed railway project
At the Second National Assembly Meeting to implement the law and resolutions of the 6th session and the 5th extraordinary session, the 15th National Assembly took place on the morning of March 7, Deputy Prime Minister Tran Luu Quang said that the Government is considering a plan for the North-South high-speed railway project and will present it to the National Assembly for consideration and decision.
“The Government is considering a plan for the North-South high-speed railway project; the national marine spatial planning for the period 2021-2030, vision to 2050; national land use planning for the period 2021-2030, vision to 2050, and the 5-year land use plan for 2021-2025. After soliciting opinions from competent agencies, the Government will present it to the National Assembly for consideration and decision,” said the Deputy Prime Minister.
Illustration by AI ChatGPT
Previously, on February 19, the Government Office issued document No. 57 / TB-VPCP announcing the conclusions of the Government’s Standing Committee at the meeting on the Draft investment policy for the North-South high-speed railway project.
The Government’s Standing Committee assigned the Ministry of Transport to urgently coordinate with the Government Office to study the establishment of a Task Force to implement the North-South high-speed railway project. The Task Force will be headed by Deputy Prime Minister Tran Hong Ha; the Minister of Transport will be the Deputy Team Leader; and the representatives of leadership will be members. The Task Force will have a working regulation, with an estimated frequency of one meeting per month to timely handle and promote preparations and implementation of the project.
The Ministry of Transport is soliciting opinions from experts, scientists, and experienced officials in the railway industry on multiple options to select an optimal plan to propose to the Politburo. Urgently completing the project plan, submitting it to the Government’s Standing Committee in March 2024; urgently completing the feasibility study report of the project, submitting it to the National Assembly for consideration and decision on investment policy in 2024.
The Ministry of Transport is seeking opinions on three scenarios for the North-South railway with a length of 1,545 km, passing through 20 provinces and cities, including two scenarios for passenger and cargo trains.
Scenario 1: Investing in the construction of a new dual-track North-South high-speed railway, with a gauge of 1,435 mm, a length of 1,545 km, a design speed of 350 km/h, a load capacity of 17 tons per axle, and only operating passenger trains. The existing North-South railway will be upgraded to specialize in carrying goods, tourist passengers, and short-distance passengers. The total investment capital is about $67.32 billion.
Scenario 2: Constructing a new dual-track North-South high-speed railway, with a gauge of 1,435 mm, a load capacity of 22.5 tons per axle, and operating both passenger and cargo trains. The design speed is 200-250 km/h, and the maximum speed for cargo trains is 120 km/h. The existing North-South railway will be modernized to specialize in carrying goods, tourist passengers, and short-distance passengers. The total investment capital is about $72.02 billion.
Scenario 3: Investing in a dual-track North-South railway, with a gauge of 1,435 mm, a load capacity of 22.5 tons per axle, a design speed of 350 km/h, and operating passenger trains while also serving as a backup for cargo transportation when needed. The total investment capital for the project is $68.98 billion. If investing in infrastructure, equipment, and means of operation for cargo trains running North-South route, the total investment capital for the project would be about $71.69 billion.
