Vietnam's largest private conglomerate Vingroup has submitted an investment plan for a metro line worth an estimated US$4.1 billion, connecting downtown Ho Chi Minh City with coastal Can Gio District, to the Ho Chi Minh City administration and the municipal Department of Transport and Public Works.

Vingroup suggested that the project begin at Nguyen Van Linh Street in District 7 and end at a 39-hectare land lot near the Can Gio sea encroachment tourism-urban area in Can Gio District. 

The project is set to feature a 48.5-kilometer elevated double-track railway with a 1,435mm gauge.

Designed for a maximum speed of 250 kilometers per hour, it will include two depots -- one spanning 20 hectares in District 7 and the other covering 39 hectares in Can Gio.

In terms of capacity, trains will be able to transport 30,000-40,000 passengers per hour in each direction.

The project is planned to be executed under a public-private partnership model, with a build-own operate contract.

Vingroup will invest in the project using its own capital and legally mobilized funds, and will own and operate the project upon completion.

Of the total estimated investment, about VND8.66 trillion ($338.7 million) will be spent on site clearance, VND37.54 trillion ($1.5 billion) on construction, and VND25.78 trillion ($1 billion) on equipment.

The remaining capital will cover taxes, contingency, project management, and consultancy service costs.

Preparations for the project will start in 2025, including the completion of the pre-feasibility report and the approval of the project. 

Construction is scheduled to begin in 2026 and the project is expected to be completed by 2028.

Vingroup proposed the Ho Chi Minh City People's Committee consider, approve, and instruct relevant agencies to support and guide the implementation of necessary tasks to expedite the project's completion.

Can Gio District is some 50 kilometers from downtown Ho Chi Minh City. Currently, the primary route to Can Gio is by water, using the Binh Khanh Ferry. 

The city has plans to transform Can Gio into a high-quality resort and eco-tourism city by 2030, which will become a competitive destination in the region.

At the 16th meeting of the national steering committee for important national projects on Wednesday, Prime Minister Pham Minh Chinh tasked Ho Chi Minh City with urgently studying and developing metro line projects connecting Can Gio District and Tan Son Nhat International Airport and reporting results next month.

During a conference to unveil the Ho Chi Minh City Master Plan for 2021-30, with a vision extending to 2050, on January 4, the prime minister hailed the city’s efforts to put its first metro line into operation late last year.

“I recently suggested to Vingroup chairman [Pham Nhat] Vuong the idea of constructing a metro line linking the city center to Can Gio District, and he enthusiastically supported the initiative," the PM then said.

Vuong is Vietnam's richest person and placed 462nd on Forbes magazine’s global billionaire ranking with a net worth of $7.1 billion as of March 15.

The prime minister said it is important to involve major enterprises with substantial resources in projects critical to Vietnam’s socio-economic progress.

“I am offering initiatives to businesses and encouraging them to develop innovative approaches," Chinh said at the conference.

“Resources stem from our ideas, and motivation arises from our innovation.

“This mindset must guide us as we implement the city’s master plan.”

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