During a recent meeting chaired by Deputy Prime Minister Nguyen Hoa Binh regarding the North-South high-speed railway project, six new enterprises were scheduled to attend, but only five were present.
The five attending companies included: Vietnam 3000 LLC – Vietnam Investment and Development Group, Discovery Group JSC, Vietnam Railway Transport JSC, Truong Hai Group Corporation (THACO), and Vinspeed High-Speed Railway Investment and Development JSC.
Among these, the investment plans, financial strategies, technology proposals, and investment modalities presented by the two major players, Vinspeed (Vingroup) and THACO, were the most noteworthy. Below is a comparative table of their proposals and commitments.
At the meeting, Mr. Nguyen Hoang Tue, Deputy General Director of THACO, stated that in addition to their own capital, Truong Hai Group would establish companies to raise investment funds from domestic and international enterprises and conglomerates to execute the project.
Furthermore, THACO urged the government to promptly issue policies, standards, and frameworks for the project to enable businesses to study and participate in its implementation.
Representing Vinspeed, Mr. Nguyen Viet Quang, CEO of Vingroup, argued that if Vinspeed invests directly, the state and society would benefit in five key ways.
First, the state would only need to lend 80% instead of covering 100% of the total investment. Second, the state would recover 80% of the loan within 30 years rather than waiting over 140 years for capital recovery. Third, the system would be operational within five years instead of ten, boosting economic growth, improving transportation convenience, reducing travel costs, and enhancing the livelihoods of communities along the route. Fourth, the state would avoid cost overruns and project delays. Fifth, the state would develop a high-speed railway industry without direct investment.
In terms of ecosystem scale, Vinspeed is backed by Vingroup and its robust ecosystem, including key members such as VinFast (automotive), Vinhomes (residential and industrial real estate), Vincom Retail (retail real estate), Vinpearl (hospitality and tourism), VinSchool/VinUni (education), Vinmec (healthcare), and affiliated companies like GSM and GF in transportation services and vehicle leasing.
VinFast is currently listed in the U.S., while Vingroup, Vinhomes, Vincom, and Vinpearl are listed on the Ho Chi Minh City Stock Exchange (HOSE). The total market capitalization of this ecosystem is approximately $40 billion.
As for THACO, the group operates across multiple sectors with six core subsidiaries: Thaco Auto (automotive), Thaco Agri (agriculture), Thaco Industries (mechanics and supporting industries), Thilogi (logistics), Thadico Dai Quang Minh (investment and construction), and Thiso (retail trade).
Apart from HAGL Agrico (ticker: HNG), acquired from HAGL owned by Doan Nguyen Duc (Bầu Đức), THACO’s ecosystem does not include any other publicly listed companies.
The North-South high-speed railway is considered the backbone of Vietnam’s infrastructure, connecting 20 provinces and cities over a 1,541 km route. The project, with a preliminary investment of VND 1,713 trillion (over $67 billion), is the largest public infrastructure initiative in Vietnam’s history, both in scale and strategic impact on the economy and society. Construction is expected to begin before December 31, 2026, with completion by 2035.
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Mr. Truong stated that he has submitted an urgent petition regarding his exclusion from the North-South High-Speed Railway project meeting. He has requested a direct meeting to present and clarify his investment proposal and capital plan.
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Upon solidifying its dominant position with both market capitalization and total assets surpassing the 1 billion USD milestone, Vingroup swiftly initiated strategic moves within VinSpeed and VinMetal to forge a third growth pillar for the coming decade.
THACO Announces ₫120 Billion Capital Reduction, Prepares for ₫10.13 Trillion Capital Increase
THACO emphasizes that capital adjustments, including both reductions and increases in charter capital, are integral to its strategy for refining governance models and optimizing capital efficiency. The corporation remains committed to sustainable development, leveraging its financial strength, streamlined management, and long-term investment vision to actively contribute to the nation’s economic growth.
High-Speed North-South Railway Project: Direct Investment Emerges as the Sole Viable Model
Renowned economist Vu Dinh Anh asserts that the optimal financing model for the North-South high-speed rail project is direct private investment, wherein the state provides 80% of the capital through loans, and private investors contribute the remaining 20%. This approach surpasses both traditional public investment and public-private partnerships (PPPs) in terms of efficiency and feasibility.
Vingroup CEO Proposes 80% Loan for High-Speed Rail Project, Repayable Over 30 Years
Vingroup’s CEO envisions a groundbreaking investment project, structured as a business venture, with a projected total investment exceeding $61 billion (excluding land clearance costs). The proposed timeline for project completion is set at five years, commencing upon the government’s allocation of cleared land for the development.
