Leading Vietnamese corporations Thaco and Hoa Phat have announced plans to expand into urban railway and rail infrastructure projects, responding to Prime Minister Pham Minh Chinh’s call for private enterprises to contribute to national megaprojects.

Thaco, known for its automotive and industrial manufacturing, will focus on producing metro trains and steel structures. Meanwhile, Hoa Phat, the country’s top steel producer, is considering a $400 million investment in a railway track manufacturing plant to support Vietnam’s ambitious rail expansion plans.

Thaco to manufacture metro train components

Tran Ba Duong
Tran Ba Duong, Chairman of Thaco, announced plans to manufacture metro train components and steel structures for Vietnam’s railway projects. Photo: VGP

Speaking at a business roundtable with the Prime Minister, Tran Ba Duong, Chairman of Thaco Group, revealed the company’s plans to manufacture metro train cars and steel components for railway projects.

“With our engineering expertise and international partnerships, we will localize production to reduce costs while maintaining high standards. This project will integrate small and medium-sized Vietnamese enterprises into the supply chain,” Duong stated.

Thaco will break ground on a 700-hectare industrial park in Binh Duong this September, further strengthening Vietnam’s mechanical and industrial manufacturing ecosystem.

Beyond transportation, Thaco is also developing a large-scale, integrated organic agriculture model in Cambodia, Laos, and Vietnam’s Central Highlands. Duong emphasized the need for comprehensive irrigation planning to ensure sustainable agricultural development in the region.

Additionally, Thaco is expanding its logistics operations, having successfully established a 5,000-ton container port that connects southern Laos, northern Cambodia, and Vietnam’s Central Highlands to international markets. The company has also invested in 1,000 TEU container ships, directly linking Chu Lai Port to Shanghai, providing a competitive logistics alternative for central Vietnam.

Hoa Phat considers $400 million investment in railway infrastructure

Tran Dinh Long
Tran Dinh Long, Chairman of Hoa Phat, proposes a $400 million investment in railway track production to support Vietnam’s infrastructure expansion. Photo: VGP

Tran Dinh Long, Chairman of Hoa Phat Group, highlighted Vietnam’s massive public investment program from 2025 to 2030, which includes metro systems in Hanoi and Ho Chi Minh City as well as the Lao Cai-Hanoi-Hai Phong railway.

“This presents a major opportunity. Hoa Phat is prepared to invest VND 10 trillion ($400 million) in a railway track production facility to supply these projects. However, we need a government resolution guaranteeing demand to ensure feasibility,” Long stated.

Hoa Phat is also committed to supplying 10 million tons of high-quality steel for railway infrastructure at prices lower than imported alternatives.

Private sector leads in new industries

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Nguyen Viet Quang, CEO of Vingroup. Photo: VGP

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Le Van Kiem, Chairman of KN Holdings. Photo: VGP

Nguyen Viet Quang, CEO of Vingroup, outlined the conglomerate’s investments in electric vehicles (EVs), renewable energy, and digital transformation.

VinFast is building an integrated EV ecosystem, including battery production, charging stations, and smart energy solutions. Additionally, Vingroup has ventured into robotics and AI-driven industrial automation, launching two new subsidiaries, VinRobotics and VinOcean, to advance these technologies.

Quang emphasized the urgent need for policy reforms to attract investment in Vietnam’s energy sector, ensuring sufficient supply and lower electricity costs.

"Vingroup is committed to pioneering innovation and sustainability. With strong government support, private enterprises can drive Vietnam’s green and digital transformation,” Quang stated.

Meanwhile, Le Van Kiem, Chairman of KN Holdings, called for finalizing Vietnam’s revised Power Development Plan (PDP8) and accelerating the deployment of renewable energy projects.

He also urged the government to establish clear regulations on energy storage systems to ensure stable integration of solar and wind power.

Nguyen Le