Can Gio International Transit Port Project get approval for an investment policy from Prime Minister

Deputy Prime Minister Tran Hong Ha approved the Can Gio International Transit Port Project (Project) through Decision No. 148/QD-TTg dated January 16, 2025, of the Prime Minister.

Approval of Can Gio International Transit Port Project

On January 16, the investment policy for the Can Gio International Transit Port Project (HCMC) received approval from the Prime Minister. The aim of this project is to construct and enhance the Can Gio international transit port, encompassing services associated with the operation of container ports, seaports, and various other services.

The Prime Minister has tasked the People’s Committee of Ho Chi Minh City with the responsibility of guiding specialized agencies to accurately assess the total investment capital of the project in accordance with the investor’s proposal. This assessment is to be documented during the process of issuing investment registration certificates as per regulatory requirements. The operational duration of the project is set for 50 years, commencing from the date of the investment policy decision. The disbursement timeline for the investment capital and the method for selecting investors will adhere to the stipulations outlined in Resolution 98.

Concerning the project’s conditions and the investor responsible for its execution, the Prime Minister stipulates that implementation shall only occur once the project aligns with planning at all levels. Furthermore, it is essential that the competent authority approves a change in the purpose of forest land in accordance with the stipulations of forestry law, land law, and other applicable regulations. Simultaneously, it is necessary to fulfill the environmental protection procedures as mandated by law, as well as adhere to the procedures and conditions related to the technology employed in the project in accordance with the provisions governing technology and technology transfer.

Project Information

The Project for Research on the Construction of the Can Gio International Transit Port in Ho Chi Minh City, previously submitted to the Prime Minister, outlines a project that extends over 7 kilometers and is designed to accommodate the largest container vessels currently in operation, with a capacity of 250,000 DWT (24,000 TEUs).

As detailed in the project proposal by Saigon Port Joint Stock Company and Terminal Investment Limited Holding S.A., a member of the globally recognized shipping entity MSC, the investor has proposed the development of the Saigon international gateway port situated on Phu Loi Islet in Can Gio District, HCMC. This initiative entails a total investment of 5.45 billion USD, structured into seven phases, with the initial phase anticipated to be completed by 2027 and the entire project projected for completion by the end of 2045.

Initial assessments indicate that upon full investment and attainment of its designed capacity by the year 2045, the Can Gio international transit port is projected to generate annual revenues ranging from VND 34,000 to 40,000 billion.

The transfer of the project by the investor is prohibited within a period of five years from the issuance date of the investment registration certificate. Should there be a need to change the investor after this timeframe, such changes must adhere to legal provisions and receive written approval from the City People’s Committee. Furthermore, if matters pertaining to national defense and security emerge during the implementation of the project, any transfer of the project, capital contributions, controlling shares, or the transfer of capital contributions and shares to foreign investors necessitates obtaining approval from the Ministry of National Defense, the Ministry of Public Security, and other relevant authorities.

The world’s largest shipping line proposes investment in Can Gio International Transit Port

The Can Gio International Transit Port is regarded as a significant undertaking that offers substantial advantages to the nation. Its construction aims to fulfill the directives set forth by the Party and the State regarding the advancement of the Southeast region and Ho Chi Minh City.

An investment proposal for the project was put forth by a consortium comprising Saigon Port Joint Stock Company and Terminal Investment Limited Holding S.A., which is a subsidiary of MSC Shipping Company. Headquartered in Geneva, Switzerland, MSC stands as the largest shipping company globally, boasting a fleet capacity exceeding 23 million TEU per year, which represents 18% of the total fleet capacity worldwide. The company’s service routes extend to over 500 seaports across the globe.

Sources: various sources