The Ministry of Transport (MoT) of Vietnam has announced plans that its planned north-south high-speed rail (HSR), spanning 1,541 km from Hanoi to Ho Chi Minh City, is projected to cost USD500 million annually to operate in its early years, with government support for infrastructure maintenance. Revenue will initially cover operational and maintenance expenses for rolling stock, while construction, estimated at USD67.3 billion, is expected to commence in 2027 and conclude by 2035. The MoT estimates the line will take over 33 years to break even, excluding infrastructure costs, citing benefits like reduced travel times, lower logistics costs, and CO2 emissions.
The project is expected to enhance Vietnam’s economic competitiveness, creating new opportunities through efficient land use and linking with regional networks such as China, Laos, and Cambodia. Designed for a speed of 350 kph, the electrified dual-track line will complement the existing railroad for freight and short-distance travel. The annual construction funding of the project will average USD5.6 billion over 12 years, accounting for 16.2 per cent of the public investment plan for 2026–30. By 2050, the railway aims to meet surging demand for the north-south corridor, estimated at 122.7 million trips annually.