Ho Chi Minh City’s Ring Road 2 project, first planned in 2007, spans 64 kilometers and aims to create a closed traffic loop, connecting peripheral areas and reducing congestion in the city center. However, after almost two decades, the road remains incomplete with four sections, totaling about 14 kilometers, yet to be fully implemented.
In a recent report to the Ho Chi Minh City Departments of Finance and Construction, the city’s Transport Project Management Unit provided updates on key transport projects, including the largest bottleneck of the Ring Road 2, known as Section 3.
Ring Road 2 is 64 kilometers long, with 47 kilometers completed. However, there are still 14 kilometers left to be finished, including three sections in Thu Duc City.
Section 3 Revival after More Than 5 Years of Stagnation
Section 3, a 2.7-kilometer stretch connecting Pham Van Dong Street to Go Dua Intersection on National Highway 1 in Thu Duc City, was started in 2017 as a build-transfer (BT) project by Van Phu Bac Ai Joint Stock Company, with a total investment of over VND 2,700 billion. Compensation for site clearance accounted for more than VND 1,800 billion of this amount.
Despite multiple deadline extensions, construction on this section was halted in March 2020, with only 44% completion. Left idle for over five years, the site became overgrown with grass, and equipment deteriorated. Some areas were used by locals as shortcuts or for grazing livestock.
The neglected Ring Road 2 section was used by locals for grazing cattle and pigs.
However, there is now a significant opportunity for the project’s revival. According to the Thu Duc City Compensation and Site Clearance Authority, 453 out of 469 households have received compensation, and 427 have handed over their land, amounting to 19.03 hectares, which is over 92% of the total area to be acquired.
The Thu Duc City People’s Committee is directing relevant units to continue encouraging and promoting the remaining 16 households to soon hand over the last portion of the land. This will help untangle the most considerable bottleneck and facilitate the resumption of construction in the coming time.
The dormant construction site has become a dumping ground for trash.
On the investor side, they are awaiting the completion of signing the BT contract appendix, related to the construction value structure and land pricing. This is a necessary condition for proceeding with the remaining items and making land fund payments as stipulated.
Ho Chi Minh City’s Transport Project Management Unit has proposed that the inter-sector working group promptly promote the directions of the City People’s Committee to resolve existing problems, resume construction, and avoid resource waste and prolonged cost escalation.
Anticipating the Completion of the Entire Route Before June 2027
In addition to Section 3, the other three sections of Ring Road 2 are also in the process of preparation for construction.
Specifically, Section 1 is 3.5 kilometers long, connecting Phu Huu Bridge to Vo Nguyen Giap Street. Section 2 is 2.75 kilometers long, from Vo Nguyen Giap Street to Pham Van Dong Street. Section 4, from Nguyen Van Linh Street to Pham The Hien Street, is currently in the investment research phase.
After years of neglect, the project site is now littered with rusty materials amid overgrown weeds.
Earlier, on April 19, Ho Chi Minh City commenced the contract for infrastructure relocation and mine clearance for Sections 1 and 2 to prepare the ground for construction starting in September. The total investment for the first phase of construction of these two sections is VND 5,239 billion. Compensation for site clearance is estimated at VND 8,627 billion, affecting 1,154 cases, with a total land area of about 62 hectares.
According to the plan, these two sections will officially commence construction in the third quarter of 2025 and are expected to be completed by the second quarter of 2027.
Ho Chi Minh City’s Ring Road 2 is expected to be completed before June 2027 to reduce traffic pressure on Pham Van Dong Street.
At a meeting on April 17, Vice Chairman of the Ho Chi Minh City People’s Committee Bui Xuan Cuong requested that departments and sectors focus on resolving bottlenecks for the entire Ring Road 2 project, from adjusting investment procedures, site clearance, to land fund payment. The representative of the Transport Project Management Unit also stated that if the progress is guaranteed, the city can complete the Ring Road 2 before June 2027.
After years of stagnation, Ho Chi Minh City’s strategic Ring Road 2 project is showing positive signs of revival. If the bottlenecks related to land clearance, contracts, and payments are addressed promptly, the completion of the entire route by 2027 is achievable. This is an important prerequisite to promote regional connectivity, economic development, and alleviate urban traffic congestion.
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