At the end of 2025, the Lao Cai-Hanoi-Hai Phong Railway Project will start construction.

Transport goods cheaper, faster

Vietnam-China trade turnover amounts to hundreds of billions of USD/year. Transport development, especially railways, plays an important role in promoting economic , trade, tourism and regional cooperation.

However, currently, the transportation of goods between the two countries mainly relies on roads, causing congestion at border gates and increasing logistics costs. When the Vietnam - China railway system is connected, goods can circulate at a lower cost, faster time and larger scale. This helps Vietnamese businesses easily access the Chinese market as well as boost exports of agricultural products, electronics, textiles and other key products.

One of the major barriers for Vietnamese businesses is high transportation costs, which affect product prices and competitiveness. Railways can reduce transportation costs by 30-50% compared to roads and significantly save customs clearance time. This helps businesses optimize their supply chains, improve efficiency and expand their business scale.

The railway system connecting to China will facilitate industrial zones in Northern Vietnam, especially Lang Son, Lao Cai, Quang Ninh, Bac Giang , Hai Phong. As the transportation of goods becomes more convenient, many businesses will invest in industrial zones along the railway, creating jobs and promoting regional economic development. At the same time, logistics centers will be built to optimize the supply chain and increase the value of goods.

In addition to transporting goods, railways also help develop tourism between the two countries. With a railway connection, tourists from China can easily travel to Vietnam at lower costs and faster travel times. This will boost the tourism and service industries and create more revenue for the Vietnamese economy.

Assessing the potential of the Lao Cai - Hanoi - Hai Phong railway, National Assembly delegate Sung A Lenh, Lao Cai, said that this is an important traffic route connecting economic trade between economic regions of Vietnam and the world, opening up great opportunities to develop trade, tourism, services, save logistics costs, reduce road traffic, protect the environment, contribute to sustainable green development, effectively serving the cause of socio-economic development of the country.

Construction to begin in late 2025

Recently, at the bilateral meeting between Minister of Construction Tran Hong Minh and Minister of Transport of China Liu Wei during the Ministry of Construction's working visit to China, the two sides agreed to actively exchange and promote the progress of implementing railway connection projects between the two countries.

In particular, implementing procedures to approve the technical assistance project to help Vietnam develop the planning for two standard gauge railway lines Dong Dang - Hanoi and Mong Cai - Ha Long - Hai Phong. For the investment project of the Lao Cai - Hanoi - Hai Phong railway, speeding up the review and approval processes related to the Chinese side's agreement to provide non-refundable aid to help Vietnam develop the project's Feasibility Study Report.

At the meetings, Minister Tran Hong Minh emphasized the high political determination of the Party and Government of Vietnam in realizing the common perception of the two Parties and two States in cooperation and connecting the two countries' railways.

Working session between Minister Tran Hong Minh and Minister Liu Wei in China. (Source: Ministry of Construction's electronic information portal)

Minister Tran Hong Minh affirmed, "The leaders of the Party and Government of Vietnam are very interested in and closely direct the progress of railway projects connecting China in Vietnam and strive to start the Lao Cai-Hanoi-Hai Phong railway investment project by the end of 2025. On February 19, 2025, the Vietnamese National Assembly approved the project investment policy and to speed up the implementation progress, the Vietnamese National Assembly agreed to allow the application of 18 special and specific mechanisms and policies to implement the project."

The Minister expressed his hope that the General Administration of International Development Cooperation of China and the National Development and Reform Commission of China would pay attention and support to soon complete important tasks such as: Approving and handing over diplomatic notes on non-refundable aid for the preparation of the Feasibility Study Report (F/s) of the Lao Cai - Hanoi - Hai Phong Railway Investment Project...

The Vietnam-China railway connection project will not only help promote trade, reduce transportation costs, and develop infrastructure, but also strengthen links with the global supply chain and expand investment opportunities. If implemented effectively, this will be an important driving force for Vietnam to develop a sustainable economy in the future.

(According to VOV)

Source: https://baoyenbai.com.vn/12/348112/Cuoi-nam-2025-se-khoi-cong-Du-an-duong-sat-Lao-Cai-Ha-Noi-Hai-Phong.aspx