Mega Metro Project Connecting Ho Chi Minh City Center to Northwest Gateway Proposed for Capital Increase to Over $2.2 Billion, Set to Break Ground Early Next Year

The Ho Chi Minh City Urban Railway Management Board (MAUR) has submitted a revised report for the Metro Line 2 project, spanning from Ben Thanh to Tham Luong, to the City People’s Committee and the Department of Construction. The proposed total investment has been adjusted to VND 52,047 billion, an increase of over VND 4,000 billion compared to the initial estimate.

The breakdown of costs includes land clearance expenses exceeding VND 5,000 billion, construction costs of VND 20,600 billion, project equipment at VND 9,200 billion, consulting fees of VND 3,600 billion, and approximately VND 7,500 billion allocated for contingencies and other unforeseen expenses.

According to MAUR, the investment increase is attributed to various objective and subjective factors. The Metro Line 2 project has been expanded to include additional structures, ensuring seamless integration with Metro Lines 1 and 6. Moreover, the project incorporates updated operational technology, replacing the design approved over a decade ago.

Notably, the project’s funding source has been entirely shifted from ODA loans to the city’s budget, significantly altering the investment structure.

Additionally, fluctuations in raw material prices, inflation, and market dynamics since the project’s adjustment approval in 2019 have contributed to the rising construction costs. The additional funding is also aimed at ensuring the project’s completion by 2030 as scheduled.

A significant change is the adoption of overhead power supply technology, similar to Metro Line 1, instead of the initially planned third-rail power supply. The project also includes an automated train control system and regenerative energy recovery.

The project’s length has also been adjusted, increasing by 200 meters from the previous plan. The total linear length from Ben Thanh station to Tham Luong Depot is now 11.269 km, up from the initial 11 km.

The route consists of approximately 9.255 km of underground track, 0.265 km of transition section, 0.846 km of elevated track, and 0.903 km of depot approach. Along the route, there are 10 underground stations (including Ben Thanh), 1 elevated station, and 1 depot.

MAUR’s leadership announced that the Metro Line 2 project is expected to be approved by the City People’s Committee on December 15th this year, with the official groundbreaking scheduled for January 15, 2026.

Initially approved in 2010, the project has faced multiple delays, pushing its completion date to 2030.

Upon completion, the line will connect with Metro Line 1 at Ben Thanh station (District 1) and future lines (5, 3b, 4, and 6), facilitating east-west passenger transfers into Ho Chi Minh City’s center.