Dong Nai Terminates Contractor in Nearly VND 2.6 Trillion Project

Construction progress on several components of Component Project 3, part of the Ho Chi Minh City Ring Road 3 project passing through Dong Nai, has been delayed. One contractor has been liquidated, and the construction workload has been reassigned to another contractor.

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On September 16th, the Dong Nai Province Project Management Board—the investor of Component Project 3 of the Ho Chi Minh City Ring Road 3, spanning Dong Nai Province—issued a notice regarding the reallocation of work volumes from a subcontractor due to delayed construction progress on Package No. 26. This package is part of the larger project.

A section of the Bien Hoa – Vung Tau Expressway under construction

The Project Management Board has requested Hoang Thanh Investment and Trading Joint Stock Company (the subcontractor for Package No. 26) to collaborate with the project supervisor and main contractor. Together, they must review and confirm the completed work volumes before handing over the site to the main contractor for continued execution. Hoang Thanh must fulfill all contractual obligations as per the agreement between the main contractor and subcontractor.

For the main contractor, Tan Nam Joint Stock Company, the Board has authorized the recovery of all uncompleted work volumes from the subcontractor, as per the signed construction contract and its addendums. The main contractor is also required to revise the critical path schedule to compensate for delays and ensure technical completion of the project before December 19, 2025.

According to the Project Management Board, progress reviews with stakeholders involved in Package No. 26 revealed that the subcontractor failed to meet key milestones. These included commitments to aggregate stone stockpiling, embankment construction for parallel roads, and technical box culverts and transverse drainage systems.

Component Project 3 of the Ho Chi Minh City Ring Road 3, covering over 11 kilometers in Dong Nai Province, has a total investment of nearly VND 2.6 trillion. Currently, three construction packages are underway, with accumulated value reaching VND 871 billion—47% of the contracted value, lagging 4.3% behind schedule.

As mandated by the Prime Minister and the Provincial People’s Committee, the project must achieve technical completion by December 19, 2025.

In addition to Component Project 3, the Dong Nai Provincial People’s Committee has directed the Project Management Board to assess and reallocate work volumes from delayed contractors on Component Project 1 of the Bien Hoa – Vung Tau Expressway.

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The authorities in Dong Nai province have issued a directive to fast-track the resolution of contractor issues and the establishment of an updated construction schedule for the Bien Hoa – Vung Tau Expressway and the Ho Chi Minh City Ring Road 3 projects. The directive sets an ambitious deadline of August 2025 for the completion of these tasks, with the aim of ensuring smooth progress towards the technical opening of these vital transportation arteries.