Japan Quits! Vietnam Hands Over $67 Billion North-South High-Speed Rail Project To China

[Zsari]

Vietnam Party chief welcomes China’s engagement in 3 railway projects​

By Quang Minh
Tue, August 20, 2024 | 10:10 am GMT+7

Vietnam’s top leader To Lam has expressed support for China’s engagement in developing three standard-gauge railway projects linking the two neighboring countries.

At a meeting with Chinese Premier Li Qiang in Beijing on Monday, Vietnamese Party General Secretary and President To Lam also backed Chinese participation in the Vientiane-Vung Ang railway in central Vietnam and metro lines in Hanoi.

Vietnam’s Party General Secretary and President To Lam (left) and China’s Premier Li Qiang at a meeting in Beijing, August 19, 2024. Photo courtesy of Vietnam News Agency.​

In response, Li showed China’s readiness to improve the rail linkage between Vietnam and Europe via China and accelerate the feasibility study of the Lao Cai-Hanoi-Hai Phong railway. In addition, he agreed to make planning for the Dong Dang-Hanoi and Mong Cai-Ha Long-Hai Phong railways.

Rail connection between the two countries was outlined during the visit of China's Party General Secretary and President Xi Jinping to Hanoi in December 2023.

The Cat Linh-Ha Dong, built with Chinese ODA, is the first fully operational metro line in Vietnam.

At the Monday meeting, Lam asked China to continue opening up its market for high-quality farm produce from Vietnam, and facilitate the country to set up its Consulate General in Chongqing and trade promotion offices in China.

He also proposed China accelerate big-ticket and high-quality investment projects with modern technologies in Vietnam, representing China’s advances; soon pilot smart border gates; promote payments in local currencies; and step up collaboration across the areas of science-technology, innovation, green transition, digital transformation, and high-tech agriculture.

The Vietnamese leader also hoped the two sides will boost cooperation in education, culture, and tourism, bringing Chinese arrivals in Vietnam to pre-pandemic levels.

For his part, Li promised more facilitation of Vietnamese high-quality agro-fishery products’ entry into China.

The two sides also touched upon regional and international issues of mutual concern. They agreed to jointly control and satisfactorily settle disagreements, maintain peace and stability at sea, and consolidate a favorable environment for the development of each nation.

Trade between Vietnam and China reached $173.3 billion in 2023, down slightly from 2022, according to Vietnam’s government data. China has remained Vietnam’s largest trading partner and import market for years.

Mainland China was the fourth-largest investor in Vietnam between January and July, with commitments reaching $1.91 billion, down 18% year-on-year, according to Vietnam’s Ministry of Planning and Investment.

Doesn’t look like China made any commitment in the Vietnam North-South HSR. The projects mentioned are mere feasibility studies for connecting Chinese border cities to Hanoi. China shouldn’t get itself involved in Vietnam-Lao railway either, as focus should be given on connecting Laos to Thailand.