Breaking News: THACO, Discovery, and Others Eye $75 Billion Mega-Project

The Gia Lai Provincial People’s Committee announced that the North-South high-speed railway line passing through Gia Lai province spans approximately 115.7 km, from Hoai Nhon Bac Ward (bordering Quang Ngai province) to Quy Nhon Tay Ward (bordering Dak Lak province), traversing 18 communes and wards.

Within the province, two stations are planned: Bong Son Station (Hoai Nhon Nam Ward) and Dieu Tri Station (Tuy Phuoc Tay Commune). The new Dieu Tri Station will be located about 4 km west of the existing station.

To implement the project, the Gia Lai Provincial Party Committee established and streamlined a Steering Committee, while the Provincial People’s Committee formed a Task Force to support the Steering Committee. Detailed work regulations and task assignments have been issued to all members. To date, all 18 communes and wards affected by the project have established local Steering Committees and Compensation, Support, and Resettlement Councils.

Regarding land clearance, the Provincial People’s Committee has approved a plan to divide the project into 15 independent sub-projects for compensation, support, and resettlement. The province has completed all necessary procedures and is awaiting approval from the Ministry of Construction to proceed with the next steps.

The Gia Lai Provincial Party Committee’s Standing Board approved the compensation, support, and resettlement project with a total investment of over VND 10,310 billion, assigning the Provincial Land Development Fund as the project investor. To date, the province has approved planning for 38 resettlement areas covering 153.84 hectares and 6 burial sites, sufficient to accommodate 1,587 affected households.

As of January 5th, among the 38 resettlement areas, Tay Vinh (Binh An Commune) has completed land clearance, while Van Dinh (Phu My Bac Commune) remains temporarily suspended. The Provincial Land Development Fund has prepared compensation plans for all 36 areas, with 26 approved and 10 pending local review and approval.

Gia Lai has proactively prepared nearly 1.95 million cubic meters of fill material for the resettlement areas by permitting the exploitation of 15 soil quarries and utilizing waste disposal sites in compliance with regulations.

In late December 2025, the Gia Lai Provincial People’s Committee approved the planning task for the areas surrounding Bong Son Station (approximately 440 hectares) and Dieu Tri Station (approximately 443 hectares) at a 1/2000 scale. This paves the way for the development of modern urban, service, and logistics hubs linked to the high-speed railway. The Department of Construction is currently advancing the next steps as required.

Major Players Express Interest in North-South High-Speed Railway Project

The North-South high-speed railway project spans approximately 1,541 km from Ngoc Hoi Station (Hanoi) to Thu Thiem Station (Ho Chi Minh City), crossing 15 provinces and cities with 23 stations. Designed for speeds exceeding 300 km/h, the line will significantly reduce North-South travel time. The preliminary total investment is around VND 1,710 trillion (USD 67.3 billion), with construction expected to begin this year and completion by 2035.

On December 25, 2025, Vingroup withdrew its investment registration for the project, citing a strategic decision to focus resources on other critical infrastructure projects.

Despite Vingroup’s withdrawal, the project continues to attract interest from major investors such as THACO Truong Hai, Vietnam Railway Transport JSC, Discovery Group JSC, and Vietnam Investment and Development Group (Vietnam 3000).

During a meeting with government leaders and businesses on November 27, 2025, at the Government Office, participants presented investment ideas, financial plans, technology proposals, and investment models for the project.

Vietnam 3000 emphasized the project’s scale and the need for government-investor collaboration, particularly in capital mobilization. The company proposed a Public-Private Partnership (PPP) model, focusing on joint coordination and support to mitigate risks. Its role would be to secure funding and engage top experts in the field.

When asked about its financial capacity and capital contribution ratio for a PPP model, Vietnam 3000’s representative failed to provide clear answers, with some responses unrelated to the questions.

Discovery Group’s Chairman, Nguyen Nam Thieu, acknowledged the project’s challenges but highlighted its significant societal value. The company expressed interest in a revenue-based investment model.

Vietnam Railway Transport JSC aims to focus on infrastructure, including signaling equipment and electrical systems, for the high-speed railway.

THACO views the project as a significant opportunity. Nguyen Hoang Tuyet, Deputy General Director of Truong Hai Group, stated that the company has held multiple meetings to discuss participation and has regularly updated relevant agencies on its intentions and commitment to invest under the Investment Law.

Regarding financing, investors will contribute 20% of the capital, with the remaining 80% sourced through loans and fundraising. Truong Hai Group plans to establish companies to mobilize investment from domestic and international enterprises.

Based on detailed resource and capability assessments, the project is expected to take 5 years for the Hanoi-Vinh and Ho Chi Minh City-Nha Trang sections, and 7 years for the Nha Trang-Vinh section, totaling 7 years for the entire line.

Nguyen Hoang Tuyet affirmed strong commitments to personnel, progress, quality, and timely disbursement, ensuring state asset transfers and localizing production, including manufacturing train cars and locomotives in Vietnam by 2029. The company urged the government to promptly issue project standards and policies for implementation.