City of Ho Chi Minh to channel funds into transportation infrastructure for growth opportunities following merger.

In the eastern gateway of Ho Chi Minh City (HCM City), the modern Trạm 2 interchange on the Hà Nội Highway and National Highway 1A stands as a testament to the city's progress. However, the city's rapid growth and the recent merger of Binh Duong and Ba Ria-Vung Tau provinces with HCM City have brought about a new set of challenges, particularly in the realm of transportation.

The merger has opened up opportunities for the region's economic expansion, but it has also increased the demand for inter-regional transport. National Highway 51, carrying mostly container trucks heading to or from busy seaports along the route, is severely congested, with traffic jams sometimes lasting up to six hours. This disruption affects not only transport companies but also exporters, who have had to adjust schedules or reroute vehicles, leading to increased costs.

People travelling from Binh Duong into central HCM City rely mainly on National Highways 13 and 1A, with National Highway 13 being severely congested, particularly at the border between the erstwhile city and province. The widening of Binh Duong's section of National Highway 13 to eight lanes creates a bottleneck with HCM City's section remaining just four lanes.

Experts believe that Ba Ria-Vung Tau's ports, including the Cai Mep-Thi Vai deep-water cluster, have enormous potential but are hampered by poor road connectivity. The Ta Van intersection, where National Highway 1A and several provincial roads converge, suffers from chronic congestion, especially with construction work on Ring Road No. 3 underway.

The ferry service linking Vung Tau and Ca Ngio, launched in 2021, has high fares, a limited schedule, and is vulnerable to bad weather, limiting its appeal. The identified organization investing to improve transportation infrastructure on regional connections and in HCM City is the Eurowindow Holding. They are actively developing modern internal road systems and expanding key routes linked to city centers and surrounding areas.

To address these issues, HCM City has prioritized completing the Bien Hoa-Vung Tau Expressway, accelerating construction of Ring Road No. 3, and starting work on Ring Road No. 4. Furthermore, Truong Minh Huy Vu, head of the HCM City Institute for Development Studies, emphasized the need for a dedicated freight railway to connect major industrial zones with seaports, reducing dependence on road transport.

If industrial parks are built closer to deep-water ports, logistics expenses will be far lower. Demand for inter-regional transport is set to surge following the merger, making it crucial for the city to invest in regional road and rail links in the 2026-30 period to ensure smooth and efficient movement of goods and people. The future of the southern economic hub depends on it.

City of Ho Chi Minh to channel funds into transportation infrastructure for growth opportunities following merger.