Chinese Conglomerate Aims to Develop Hanoi’s Best Urban Railway System
On December 17, Mr. Duong Duc Tuan, Vice Chairman of the Hanoi People’s Committee, met with a delegation from the China Railway Signal and Communication Corporation (CRSC), led by its Chairman and General Director, Lou Qi Liang.
Mr. Duong Duc Tuan expressed his welcome and appreciation for CRSC’s interest in cooperation and investment opportunities in Hanoi, emphasizing that the city’s ongoing development of urban railway projects will certainly open up a significant space for the participation of foreign corporations, including those from China.
Highlighting the role of urban railways as the backbone of the public transport system, contributing to addressing traffic congestion and building a civilized and advanced capital, the Vice Chairman affirmed that the city is implementing several key urban railway routes, such as Line 2 and Line 3, and is preparing for the investment development of Line 5, while also expanding the currently operating metro lines.
Vice Chairman of the Hanoi People’s Committee, Duong Duc Tuan, exchanges ideas with the Chairman of the Board of Directors and General Director of China Railway Signal and Communication Corporation (CRSC), Lou Qi Liang. Photo: Kinh te do thi
Mr. Duong Duc Tuan shared that Hanoi has formulated a detailed plan to develop a comprehensive railway system by 2035 and set a goal to expand the urban railway network to over 600km by 2045, with an investment capital of up to USD 55 billion.
Mr. Lou Qi Liang affirmed that investing in Hanoi’s railway system is entirely feasible and effective. With extensive experience, CRSC and other Chinese construction enterprises are ready to cooperate closely to develop the best urban railway system in Hanoi.
The group also expressed its desire to be introduced to reputable Vietnamese enterprises to collaborate on project implementation, ensuring quality and timely completion.
CRSC is a corporation under the State-owned Assets Supervision and Administration Commission of the State Council of China, operating in more than 20 countries and regions. The corporation’s revenue in 2023 exceeded CNY 37 billion, with a corresponding profit of CNY 4.7 billion. CRSC also serves as China’s authoritative management agency for technical standards and product standards for railway transportation control systems.
Which Urban Railway Project Will Hanoi Commence in the Near Future?
On December 17, the Management Board of the Hanoi Urban Railway Project (MRB) shared important information: Deputy Prime Minister Bui Thanh Son officially signed and approved the investment policy adjustment decision for the urban railway project in Hanoi, from Nam Thang Long to Tran Hung Dao Street.
This railway line has a total length of 11.5km, including 8.9km of underground section and 2.6km of elevated section, consisting of 7 underground stations and 3 elevated stations, along with 10 trains running on a 1,435mm gauge and a 17.5ha depot at Xuan Dinh – Bac Tu Liem.
Financially, the project has mobilized JPY 167,079 million in ODA from the Japan International Cooperation Agency (JICA) under special preferential conditions and VND 5,916 billion from the city’s budget, equivalent to USD 250.19 million. The project commenced in 2009 and is expected to last until 2031.
Perspective of the underground station near Ho Guom (West Lake) in the project from Nam Thang Long to Tran Hung Dao Street
The total investment has increased to more than VND 16,000 billion, an increase of about 82% compared to the initial figure in 2008. This is due to changes in scale, exchange rates, and fluctuations in fuel, material, equipment, labor, and salary prices, which have driven up design and equipment costs.
The project also adjusts its scale, with the elevated section extended from 8.5km to 8.9km and the underground section reduced from 3km to 2.6km, along with a reduction in the number of trains from 14 to 10.
With the investment policy adjustment, the project will continue to mobilize resources for implementation, after which the People’s Committee will approve the construction commencement from 2025. Line 2 is considered a vital transportation artery, connecting the city center, Noi Bai International Airport, and the northern urban areas of Hanoi.
In the afternoon of December 17, at the Government Headquarters, Deputy Prime Minister Tran Hong Ha received Mr. Lou Qi Liang, Chairman of the China Railway Signal and Communication Corporation (CRSC).
Firstly, the Deputy Prime Minister suggested that the Corporation coordinate with the Ministry of Transport, ministries, sectors, and related businesses to promote and implement the 3 railway routes connecting the strategic transport system between Vietnam and China, as agreed by the leaders of the two countries, as well as urban railway projects in Hanoi and Ho Chi Minh City.
Along with participating in the research and investment in constructing several railway routes and renovating the information and signal systems of some sections of the North-South railway, the leader of CRSC affirmed their desire to have the opportunity to cooperate and provide safe, high-quality railway products and services for Vietnam, with strong digital transformation applications and competitive prices.
