Vietnam Ministry of Construction issues cost guidelines for Lao Cai - Hanoi - Hai Phong railway

The Ministry of Construction has issued Circular No. 70/2026/TT-BXD to provide guidance on determining and managing costs for the Lao Cai - Hanoi - Hai Phong railway project. The circular, effective from September 17, 2026, aims to complete the legal framework and facilitate project implementation.

The project is divided into several components. Component 1 involves investing in station connection infrastructure and station squares. Component 2 focuses on the construction of the railway works. Additionally, there are sub-projects led by Vietnam Electricity (EVN) and various component projects managed by provincial and municipal People's Committees, which cover compensation, support, resettlement, and technical infrastructure relocation.

For Component 2, the total investment includes static costs (construction, equipment, other costs, and contingency for volume/work increases) and dynamic costs (contingency for price fluctuations during the project implementation period).