The project is financed by the Republic of Korea’s official development assistance and Vietnamese counterpart funding, with a total value of over 2 trillion VND (80.6 million USD).
The project is expected to cut travel time, improve railway infrastructure, and ensure safe and smooth traffic on the Hanoi - Ho Chi Minh City railway line.
The first package of the project, undertaken by a joint venture of the Korean company Ilsung and Vietnamese company Deo Ca, involves the construction of two railway tunnels.
Tunnel 1 has a length of 620 metres, and Tunnel 2 spans 393m. They are both ten metres wide and are expected to be completed in 23 months.
The second package concerns the construction of bridges, railways and signalling systems.
Speaking at the ceremony, Deputy Minister of Transport Nguyen Danh Huy said the ministry is working with donors, including the Korean Economic Development Co-operation Fund, to mobilise funding to upgrade infrastructure on the north-south railway line.
He asked the contractors to complete the project on time to help improve the railway infrastructure and reduce the travel time between Hanoi and Ho Chi Minh City.
