Japan’s Infrastructure Commitment in Vietnam: A New Dawn for Development
On October 11, 2020, just a week prior to the official visit of Japan’s newly-elected Prime Minister Suga Yoshihide to Vietnam, a significant milestone in infrastructure development was achieved. The Mai Dich-South Thang Long section of Hanoi’s Ring Road No.3 opened to traffic after two years of extensive construction, funded by the Japan International Cooperation Agency (JICA) through its Official Development Assistance (ODA).
The Mai Dich-South Thang Long Project
This ambitious project represents a vital link in Hanoi’s infrastructure network. Aimed at easing traffic congestion in the rapidly urbanizing city, the 5.4-kilometer expressway features 4.8 kilometers of elevated viaducts, strategically designed to connect the Mai Dich and South Thang Long intersections. The need for such infrastructure is pressing, as Vietnam grapples with increasing vehicular traffic and urban sprawl. The project received a loan of ¥20.6 billion (approximately $195.48 million) from JICA back in 2013, marking a long-standing collaboration between the Japanese agency and the Vietnamese government.
Historical Context of Infrastructure Development
Japan has been a steadfast partner in developing Hanoi’s Ring Road No.3 over the years. Previous projects include significant achievements such as the Thanh Tri Bridge, which was completed in 2007, and various sections that have opened over the years since. Notably, the construction of the 9-kilometer segment connecting National Highway No.32 to Linh Dam Lake, completed in 2012, further emphasizes the persistent efforts aimed at improving the transportation framework of not only Hanoi but also its surrounding areas.
Economic Implications
The completion of the Mai Dich-South Thang Long section marks a significant reduction in traffic congestion, facilitating smoother logistical operations and enhancing local economic development. As cities evolve, the importance of efficient transportation links becomes more evident. For businesses, accessible routes translate into quicker deliveries and a more responsive supply chain. The Vietnamese government has recognized these needs, actively promoting infrastructure projects to improve the domestic investment climate and attract foreign direct investment (FDI).
As emphasized by Shimizu Akira, chief representative of JICA in Vietnam, “Vietnam still faces bottlenecks in basic infrastructure. JICA will continue to support Vietnam’s socioeconomic development by implementing transportation infrastructure projects.” This commitment is key to establishing a robust framework that can support economic growth.
Upcoming Bilateral Cooperation
As Prime Minister Suga prepares for his official visit to Vietnam, high hopes are pinned on expanding collaboration in infrastructure development. Bilateral talks are expected to forge deeper ties, with commitments from Japan to extend further support to Vietnam across various sectors, including transport and utilities.
At a recent meeting, Vietnamese Prime Minister Nguyen Xuan Phuc voiced that strengthening infrastructure is essential for boosting economic growth. Projects like the North-South Expressway and the Long Thanh International Airport are poised to shape the future of Vietnam’s infrastructure landscape. There’s also an emphasis on involving private investors in these initiatives, allowing for a diversified approach to funding and execution.
The Role of the Metro Line in Ho Chi Minh City
Japan’s influence in Vietnam extends beyond Hanoi, as evidenced by a recent memorandum of understanding between Tokyo Metro and Ho Chi Minh City’s Urban Railway Management Unit. This partnership aims to facilitate the smooth operation of the city’s first metro line, slated to begin operations soon. Covering a distance of 19.7 kilometers, this line is a significant investment involving Japanese technology and expertise—an embodiment of Japan’s commitment to enhancing Vietnam’s public transportation system.
Public Investment During the Pandemic
Despite the challenges posed by the COVID-19 pandemic, Vietnam has demonstrated resilience by continuing public investment, particularly in infrastructure projects. Akira remarked on how such projects create jobs for local engineers and laborers, supporting economic recovery efforts. With around 2,000 workers engaged in the construction of metro line No.1 alone, the impact is both immediate and far-reaching.
Moreover, the focus is not merely on urban areas; infrastructure projects are also directed at rural communities to help bridge the economic divide. JICA is involved in upgrading national road networks, reconstructing bridges, and enhancing essential facilities that improve the quality of life for local residents.
The future is bright for infrastructure development in Vietnam, with Japan’s unwavering support poised to play a crucial role in this journey towards modernization and growth. As both nations navigate the evolving landscape, the impacts of these partnerships will undoubtedly resonate for years to come.