“Vietnam’s Lao Cai–Hanoi–Hai Phong railway project has seen its estimated investment rise to USD11.05 billion, while China Eximbank has proposed providing the planned USD6.5 billion loan component in Chinese yuan (RMB).”
“The 426 km standard-gauge passenger and freight railway will connect Lao Cai on the Chinese border with Hanoi and Hai Phong, with an additional 63 km of branch lines serving industrial areas and seaports. The main line is planned for speeds of up to 160 km/hr, with lower speeds through Hanoi and on other sections.”
“[China Eximbank] has also suggested using RMB-denominated financing instead of US dollars, citing potentially lower borrowing costs, Vietnam’s RMB-related trade revenues and reduced currency exposure for equipment and materials sourced from China. Vietnam’s Ministry of Finance said it remains open to the proposal while assessing the financing options…”
“The railway will use 1,435-mm standard gauge, enabling direct rail connectivity with China’s standard-gauge network at the Lao Cai–Hekou border. Construction is targeted for completion around 2030, although the financing agreement, technical design contractor and final loan terms have yet to be confirmed.”