Vietnam plans to construct a 1,541 km North-South high-speed railway line, estimated to cost $67.34 billion, entirely funded by the government without foreign loans. Vietnam’s Deputy Minister of Transport, Nguyen Dan Huy, announced this.
The high-speed rail will connect the two largest cities in Vietnam, from Hanoi to Ho Chi Minh City, with trains capable of reaching 350 km/h speeds. The financing for the project is expected to come from medium-term public investments through 2035, with approximately $5.6 billion allocated annually.
Five depots will be constructed to service high-speed passenger trains, and four additional depots will be dedicated to freight trains along the route. Construction is set to begin in 2028, with completion targeted for 2035.
Additionally, there is a plan under consideration to connect Vietnam’s high-speed rail system to China’s, linking Hanoi to the Chinese network. This would involve building two high-speed railway branches in northern Vietnam, allowing Chinese high-speed trains to operate within Vietnam’s territory if the initiative is realized.
As Vietnam continues to develop its infrastructure, including major projects like the high-speed rail system, there are increasing opportunities for foreign businesses. For companies looking to establish a presence in Vietnam, opening a branch office is an attractive option.
How to Open a Branch in Vietnam
Setting up a branch involves applying for a business license with the Department of Planning and Investment, where companies must submit documentation including proof of the parent company’s existence, financial capacity, and a business plan. A branch office allows foreign businesses to carry out market research, promote their products, and manage local operations—ideal for companies looking to capitalize on the growing economic potential driven by such infrastructure investments.