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Quy Nhon - Pleiku expressway faces funding pressure despite accelerated construction

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Construction on Vietnam’s strategic Quy Nhon-Pleiku Expressway is accelerating during the dry season, but provincial authorities have warned that delays in central government funding allocation for 2026 could threaten project progress and place mounting pressure on contractors.

At construction sites across the project in early May, hundreds of engineers and workers, supported by heavy machinery and equipment, have been operating around the clock in three shifts to maximize favorable weather conditions.

According to the Provincial Project Management Board for Transport and Civil Works, Component Projects 1 and 3 officially began construction on Dec. 19, 2025, while Component Project 2 is completing technical procedures for contractor selection and is expected to break ground in the second quarter of 2026.

Contractors accelerate construction progress on Component Project 1. Photo: Hải Yến

At Component Project 1, two construction packages worth more than VND 4.838 trillion (about USD 186 million) are being implemented simultaneously. Major bridge structures, including An Nhơn, An Nhơn 1, An Nhơn 4, Gò Cầy, Hà Nhe, Sông Côn and the North–South Expressway overpass, are undergoing bored pile drilling, substructure works and beam casting.

Đoàn Minh Hoàng, a supervision consultant from VNC Consulting JSC, said construction at An Nhơn 4 Bridge had reached 50% completion for bored pile drilling, with 12 out of 24 piles completed. He added that most of the bridge site had already been handed over and contractors were awaiting additional materials to continue work on the bridge approach section.

The project management board said construction package XL.01 has recorded an implementation value of around VND 24 billion (about USD 923,000), while package XL.02 has reached approximately VND 40 billion (about USD 1.54 million).

At Component Project 3, two construction packages worth more than VND 6.394 trillion (about USD 246 million) are also progressing rapidly. Contractors have begun roadbed preparation, bored pile drilling, beam casting yard construction, underpasses for local residents and work on major bridges including Ia Băng 1, Ia Băng 2, Đăk Ayun 1 and Đăk Ayun 2. Package XL.02 alone has achieved an implementation value of roughly VND 135 billion (about USD 5.2 million).

Contractors are also completing procedures to exploit soil, rock and sand quarries in an effort to proactively secure construction materials for the project.

Contractors drilling bored piles and casting beams at Sông Côn Bridge. Photo: Tín Phan

Land clearance work is continuing in parallel with construction. Authorities said Component Project 1 has received approximately 126.54 hectares of cleared land, equivalent to 15.5 of the project’s 22 kilometers, or 70.5% completion. Component Project 3 has received about 200.83 hectares, covering 25.03 out of 34.85 kilometers, equivalent to 72% completion.

The project affects more than 4,600 households, with around 620 households requiring resettlement and more than 2,900 graves needing relocation. Provincial authorities are constructing 12 resettlement areas, which are expected to be substantially completed by June 2026.

Lưu Nhất Phong, Director of the Provincial Project Management Board for Transport and Civil Works, said the overall progress of the component projects remained aligned with the schedule outlined in Government Resolution No. 336/NQ-CP.

However, Phong said funding remained the project’s most significant challenge. Total capital requirements for the 2026–2030 period are estimated at VND 42.836 trillion (about USD 1.65 billion), including more than VND 42.384 trillion (about USD 1.63 billion) expected from the central government and approximately VND 452 billion (about USD 17.4 million) from local budgets.

Provincial authorities said central government funding for 2026 has yet to be allocated, while local counterpart funding has nearly been exhausted for land clearance and construction activities.

For Component Project 1, authorities said VND 724.83 billion (about USD 27.9 million) had been fully disbursed, reaching 100% of the allocated budget. The province also advanced an additional VND 420 billion (about USD 16.2 million) from the local budget for compensation and site clearance, all of which has also been disbursed.

For Component Project 3, more than VND 511.45 billion (about USD 19.7 million) has been fully disbursed under the approved plan. Of the VND 600 billion (about USD 23.1 million) advanced from the local budget for site clearance, more than VND 574 billion (about USD 22.1 million), or nearly 96%, has already been spent.

Phong warned that rising fuel and construction material prices linked to the ongoing Middle East conflict were increasing financial pressure on contractors. He said delays in payment and capital advances could undermine contractors’ ability to maintain construction progress as they continue mobilizing manpower, machinery and materials amid fluctuating costs.

The Project Management Board has proposed that the Ministry of Construction submit recommendations to the Prime Minister to accelerate the allocation of central government funding for 2026. Authorities said timely funding would help ensure contractor selection for Component Project 2 in the second quarter of 2026 and secure resources for the remaining phases of the expressway project.

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