VIETNAM’s minister of construction, Tran Hong Minh, has directed government agencies to ensure that work can start before the end of this year on the 1541km North-South Railway, the country’s first high-speed line that will connect Hanoi with Ho Chi Minh City.

Minh has identified land clearance as a crucial obstacle to meeting this timescale, and is calling for the property needed for the project to be made available early in accordance with legal requirements. He has also instructed agencies to coordinate utility relocation in advance, with the objective of preventing delays.

The Ministry of Construction has been directed to urgently complete proposals for special policy frameworks, investment models, and investor selection criteria for the project. Working with other stakeholders, it will also develop a detailed implementation schedule to meet the target of breaking ground on the high-speed line by the end of 2026.

As with other national railway projects, a steering committee will be established for the North-South Railway, chaired by Minh himself. Deputy minister of construction, Bui Xuan Dung, will be the permanent vice-chair of the committee.

Vingroup pulls out

The North-South Railway has been reviewed following an official request by Vingroup to withdraw its registration to invest in the project, submitted to the government in May 2025. Vingroup says that its decision will not affect the overall implementation of the project.

In its request of December 25 2025, Vingroup says that withdrawing will enable it to ensure maximum focus of capital, manpower and implementation capacity on the strategic infrastructure projects recently assigned to it, including the 54km Ben Thanh - Can Gio and 120km Hanoi - Quang Ninh high-speed lines.

The latter, designed for a maximum speed of 350km/h, is being delivered by Vingroup subsidiary Vinspeed. Local authorities in Bac Ninh province have been directed by the provincial People’s Committee to facilitate surveys and design work for the project, which is expected to cost $US 5.54bn.

Siemens partnership

Vinspeed has signed a strategic partnership and framework agreement with Siemens Mobility which will be its technology partner for high-speed projects in Vietnam. Siemens will supply Velaro Novo high-speed trains as well as railway systems including ETCS Level 2 with automatic train operation (ATO), telecommunications, and electrification.

“The combination of Vinspeed’s project execution capabilities and deep understanding of the domestic market with Siemens Mobility’s global experience and advanced technology will create a strong foundation for delivering international-standard high-speed lines,” says Vinspeed CEO, Phạm Thieu Hoa.

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