The Road to Progress: Vietnam’s Highly-Anticipated $800 Million Highway Project

This project will facilitate cross-border trade and foster economic growth by breaking down barriers and streamlining processes.

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The Khmer Times (Cambodia) cites Vietnamese media reporting that relevant authorities have confirmed a new expressway project connecting Ho Chi Minh City to Cambodia.

This new expressway will link to the under-construction Phnom Penh-Bavet Expressway, which is on track for completion and expected to be operational by December 2027.

The Ho Chi Minh City – Moc Bai Expressway is expected to enhance international connectivity.

The project, named the Ho Chi Minh City-Moc Bai Expressway, will be the shortest route between Ho Chi Minh City and Cambodia upon completion, passing through the Bavet-Moc Bai international border gate.

The under-construction Phnom Penh-Bavet Expressway, once finished, will be synchronized with Vietnam’s new expressway. This transnational expressway will connect the capitals of Phnom Penh and Ho Chi Minh City, facilitating trade and travel between the two major cities.

The Ho Chi Minh City-Moc Bai Expressway project was approved by the Prime Minister of Vietnam in early August 2024, with a total investment of over VND 19.6 trillion, equivalent to approximately USD 800 million.

Vietnamese government funding accounts for 49 percent of the total investment, with the remainder being raised by investors.

The Ho Chi Minh City – Moc Bai Expressway is 50 km long.

The project is implemented under the Build-Operate-Transfer (BOT) model, where the executing enterprises will recoup their investment within 14 years and 10 months, after which the project will be transferred to the competent authority.

The total length of the expressway is approximately 50 km. In the initial phase, the road will be constructed with four lanes, later expanding to six lanes in phase 2, with a total road width of 25.5 meters.

According to Mr. Luong Minh Phuc, Director of the Ho Chi Minh City Transport Project Management Board, “The Ho Chi Minh City People’s Committee has assigned the Department of Transport to focus on project preparation, approval, investor survey, and land compensation from now until the end of the year.”

He added, “This will facilitate our efforts to commence construction in the second quarter of 2025, with the aim of completing the project by December 31, 2027, synchronizing with the Phnom Penh-Bavet Expressway on the Cambodian side.”

Vietnamese authorities have lauded the project as a significant contribution to enhancing the capacity of the international route connecting Ho Chi Minh City to Cambodia and reducing the burden on the current National Highway 22, which faces traffic congestion and overload issues.

Phnom Penh-Bavet Expressway: A $1.3 Billion Investment

Turning to the Cambodian side of the route, construction of the Phnom Penh-Bavet Expressway officially commenced on June 7, 2023.

The project is expected to be completed within approximately four years.

During the groundbreaking ceremony for the Phnom Penh-Bavet Expressway in June 2023, then-Cambodian Prime Minister Hun Sen stated, “This expressway will boost investment, trade, tourism, and cross-border transportation between Cambodia and Vietnam.”

He noted that the Phnom Penh-Bavet Expressway would also serve as the main driver of Cambodia’s overall economic growth, further commenting that high-speed travel saves both time and money.

Logistics cost reduction remains a key policy focus of the new government under Prime Minister Hun Manet, and improving the transportation system is seen as pivotal to attracting more production investments into the country by enhancing operational efficiency.

Upon completion, the Phnom Penh-Bavet Expressway will be the second major expressway in operation in the Kingdom, following the highly successful Phnom Penh-Sihanoukville Expressway, which opened in October 2022.

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