Published on
September 12, 2025
Deo Ca Group, a major transport infrastructure developer in Vietnam, has announced plans to invest in a metro line connecting the central tourist centers of Danang and Hoi An. The planned line aims to increase connectivity between Danang, a beach city, and the UNESCO-recognized ancient town of Hoi An, two of central Vietnam’s most popular tourist attractions.
The firm will seek to undertake the project based on a public-private partnership (PPP) model, augmented by transit-oriented development (TOD) planning principles. This is likely to foster urban growth along the metro line and make the project financially sustainable.
Exploring the Best Transit Options
After evaluating several alternatives, Deo Ca identified mass rapid transit (MRT) and monorail systems as the most feasible options. These modes were selected considering the region’s terrain, existing infrastructure, and the financial capacity to support large-scale transport development.
The coastal road currently connecting Danang and Hoi An remains heavily used by tourists and locals alike, highlighting the need for a modern, high-capacity transit solution to manage growing traffic and improve travel efficiency.
Project Timeline and Expansion Plans
The metro line is targeted for completion by 2030, with future phases potentially extending service to Tam Ky and Chu Lai. Land development along the metro route is expected to contribute to the project’s financial viability, aligning with international best practices in transit-oriented development.
To move forward, Deo Ca has formally requested approval to prepare a project dossier this September, complying with Vietnam’s PPP and railway regulations. The local government will review the proposal to ensure a transparent and competitive bidding process.
Government Support and City Transport Plans
Le Quang Nam, Vice Chairman of the Danang People’s Committee, welcomed the proposal, noting that the city will assess investor suitability while maintaining transparency throughout the planning stages.
Danang’s transport master plan outlines ambitious goals for the city’s urban transit network. By 2030, the city aims to construct two metro lines covering 24 km, expanding to three lines spanning 49 km by 2040, and eventually achieving a network of 11 lines totaling 131 km by 2045.
Tourism Growth Spurs Demand for Efficient Transit
The metro project comes amid strong growth in Danang’s tourism sector. In the first eight months of 2025, the city recorded 12.8 million overnight visitors, up 20.8% year-on-year, including five million international travelers, a 23.4% increase compared to the previous year.
Improved transport infrastructure like the proposed metro line is expected to enhance the tourist experience, reduce travel times, and ease congestion along the coastal route connecting Danang and Hoi An.
Future of Travel in Central Vietnam
The metro line is anticipated to redefine travel for residents and tourists, making central Vietnam more accessible and boosting tourism revenue. By providing a fast, reliable, and environmentally friendly transport option, the project will support sustainable urban growth and attract more domestic and international travelers to the region.
Transit-Oriented Development Enhances Local Economy
The TOD component of the project will integrate residential, commercial, and recreational developments along the metro corridor. This strategy not only ensures the financial sustainability of the metro but also promotes urban revitalization and supports local businesses, creating a model for modern transport-led development in Vietnam
Linking Tourism, Transit, and Economic Growth in Vietnam
Deo Ca’s suggested Danang and Hoi An metro line is a strategic investment at the nexus of transport, tourism, and urban development. With government support and careful planning, the project has the potential to enhance mobility, enhance the tourist experience, and drive sustainable economic growth in central Vietnam in the coming decade.
