Vietnam has officially begun construction on a 12-kilometer urban railway line linking central Hanoi with a rapidly developing suburban area, marking a major step forward in the city’s long-term public transport strategy. Backed by Japanese expertise and yen loans, the project is expected to form part of a future extension to Noi Bai International Airport, strengthening regional connectivity and easing pressure on Hanoi’s overcrowded roads.
At the groundbreaking ceremony held in early October, Japanese Ambassador Naoki Ito described the railway as a symbol of strong and enduring cooperation between Japan and Vietnam. The project carries an estimated total cost exceeding VND 35 trillion (around USD 1.3 billion), including a significant underground section. Although originally approved in 2009 with Japanese financing, the plan was suspended for years before being revived in December 2024 under Vietnam’s infrastructure acceleration policies championed by General Secretary To Lam.
Following the government’s decision to restart the project, Vietnam formally requested a renewal of Japan’s yen loans in February. This move aligns with the country’s urgent need to expand mass transit systems and reduce reliance on private vehicles, as rapid economic growth has led to mounting congestion and deteriorating air quality in major cities.
The new Hanoi line is part of a broader push to upgrade urban transportation nationwide. However, Japan has highlighted challenges in other ongoing projects, including delayed payments for Japanese contractors involved in a Ho Chi Minh City metro line that began operations last year. Despite these concerns, the renewed railway cooperation underscores both countries’ commitment to strengthening infrastructure partnerships and supporting Vietnam’s transition toward cleaner, more efficient urban mobility.
(Source: Kyodo News)
