Siemens Mobility recommends reforms to attract global investors to Vietnam’s rail projects

Michel Obadia, CEO of Siemens Mobility Singapore and Asia-Pacific, made these recommendations in a recent interview with Tuoi Tre (Youth) newspaper.

He commented that Vietnam is facing a historic opportunity to transform its transport landscape with the planned North–South high-speed railway and the rapid expansion of urban rail networks in Hanoi and Ho Chi Minh City.

He stressed that clear policy signals and consistent governance are crucial to mobilizing long-term international capital.

Obadia said that a stable and transparent PPP framework is essential for global investors, who evaluate not only project returns but also regulatory risks and policy consistency over time.

He noted that adopting synchronized technical standards aligned with international norms would ensure interoperability among suppliers, reducing lifecycle costs and technical risks.

He also stated that simplifying and accelerating project approval processes, including clear tender roadmaps and consistent evaluation criteria, would allow investors to plan efficiently and allocate capital more effectively.

Obadia highlighted the importance of a sustainable financial structure to enhance bankability and reduce uncertainty for international financiers.

He noted that Vietnam is accelerating preparations for the 1,541-km North–South high-speed railway, a project that could significantly improve connectivity between Hanoi and Ho Chi Minh City while boosting economic growth in provinces along the corridor.

At the urban level, he stated, reforms in management and greater private sector participation are seen as positive signals that could shorten implementation timelines and improve project quality.

Obadia emphasized that Siemens Mobility views Vietnam as a strategic market in the Asia-Pacific region.

The company’s proposals for the high-speed rail include the advanced Velaro Novo train platform, signaling and monitoring systems, operational concepts, and station and depot designs, along with system simulation, all customizable to Vietnam’s specific needs.

For Hanoi and Ho Chi Minh City, Siemens has presented comprehensive metro solutions covering rolling stock, signaling, electrification, depots, digital station management, passenger information, and communications.

Obadia stressed that technology transfer and workforce development should be central to Vietnam’s railway strategy.

Siemens plans to collaborate with local universities and vocational schools to train engineers, technicians, and operators, while gradually localizing the production and assembly of certain components according to international safety and quality standards.

Through these efforts, Siemens aims to help Vietnam establish modern railway systems, develop domestic capabilities in operations, maintenance, and supply chains, and strengthen investor confidence, supporting sustainable, long-term infrastructure development.