Vietnam’s parliament approved plans for a $8 billion train link from its main northern port city to China’s border on Wednesday, strengthening ties between the two communist-ruled countries and facilitating trade.
95 percent of legislators in the country’s rubber-stamp National Assembly voted in favour of the railway construction, according to reports.
The new rail line will pass through several of Vietnam’s major manufacturing hubs, including Samsung, Foxconn, Pegatron, and other global giants that rely on a steady supply of components from China.
The route will cover 390 kilometres (240 miles) from the port city of Hai Phong to the mountainous city of Lao Cai, which borders China’s Yunnan province, passing through the capital Hanoi.
China will provide credit for the project, which is projected to cost more than $8 billion.
It is one of two railway lines to China planned by Vietnam as part of its “Two Corridors, One Belt” concept, which links to Beijing’s Belt and Road global infrastructure scheme.
