Da Nang City in central Vietnam is currently expediting administrative procedures to prepare for the investment of an urban railway project linking it and Hoi An.
The project has garnered significant interest from two of Vietnam’s major corporate players: Truong Hai Group (THACO) and Deo Ca Group.
In 2025, the Da Nang Department of Finance issued Official Dispatch No. 4038/STC-DA&ĐTC, reporting to the municipal People's Committee on matters regarding the approval for investors to draft project proposals for the Da Nang - Hoi An Urban Railway under the Public-Private Partnership (PPP) model.
This urban railway axis is identified as the "backbone" infrastructure of Da Nang, designed to establish seamless connectivity and lay the foundation for the city’s long-term development. As part of this vision, Da Nang plans to implement investment for three specific rail segments:
Segment 1 connects Da Nang city center with the Hoi An Ancient Town. This route will span approximately 24.7km of Mass Rapid Transit (MRT) and 6.5km of Light Rail Transit (LRT), with a total estimated investment of VND47.7 trillion (over $1.8 billion).
Segement 2 connects the projected National High-Speed Rail Station to the existing Da Nang Station. This segment will feature 12km of LRT with an estimated cost of VND15.7 trillion ($605 million).
Segment 3 connects Hoi An to Chu Lai (Nui Thanh). This is the longest stretch, covering approximately 70km with a total estimated budget of VND111.6 trillion ($4.47 billion).
The urban railway system is expected to provide synchronous and smooth connectivity across functional spaces and land along the eastern coastal strip and the coastal plains of Da Nang.
Beyond improving local transit, the project will link Da Nang’s city center with the southern regions of the former Quang Nam province (now part of Da Nang). Specifically, it aims to synchronize strategic infrastructure clusters in both the north and south of the city, fostering Transit-Oriented Development (TOD).
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