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    Vientiane-Hanoi Expressway Project

    Ambashi, Masahito | July 2019
    Abstract
    The Lao People’s Democratic Republic (Lao PDR) faces development gaps due to its unique landlocked location. To turn the weakness of being ‘landlocked’ into the strength of being ‘land-linked’ in the Mekong Region, Lao PDR needs to play a greater role as a logistics hub and to promote its own manufacturing exports in tandem with enhanced connectivity with China, Thailand, and Viet Nam. Complete national transformation is crucial not only for the country’s industrial development, but also for accelerating the economic growth of the whole Mekong region. Against this background, the Vientiane−Hanoi Expressway (VHE) has been one of the most anticipated transportation projects between Lao PDR and Viet Nam. While these two countries concluded a memorandum of understanding on the VHE, the Lao PDR government endorsed ERIA and the Ministry of Public Works and Transport creating a working group with a keen interest in its early completion. This study project started out reflecting the Lao PDR government’s expectations, and this report is submitted on the basis of the output produced by the working group. This report: (1) explores the potentiality of the corridor between Hanoi and Vientiane as designated by the Greater Mekong Subregion Economic Development Program to obtain financial support from donors (e.g. ADB, World Bank, other official development assistance); (2) illustrates impacts on economies and industries of Lao PDR and surrounding countries such as China, Thailand, and Viet Nam via the VHE; (3) lays down industrial development strategies for Lao PDR, Viet Nam, and Thailand that take maximum advantage of the VHE; and (4) suggests appropriate financial mechanisms to construct the VHE. Thus, this report focuses on how Lao PDR and neighbouring countries can benefit from the expressway by strengthening relevant industries. In sum, our study analyses the economic and industrial impacts from the perspective of global value chains (GVCs) and production networks developed in the Mekong region.
    Citation
    Ambashi, Masahito. 2019. Vientiane-Hanoi Expressway Project. © Economic Research Institute for ASEAN and East Asia. http://hdl.handle.net/11540/10514.
    Keywords
    Transport
    Transportation
    Trade
    Trade Facilitation
    Trade Potential
    Trade Development
    Trade Agreements
    Regional Trade Integration
    Regional Trade
    Finance And Trade
    Demand For Transport
    Road & Highway Transport
    Road Transportation Systems
    Transport Infrastructure
    Economic integration
    Energy
    Import volume
    Export volume
    Access to markets
    Economic agreements
    Trade financing
    Regional integration
    Vehicle
    Land transport
    Transport economics
    Railways
    Infrastructure
    Railroads
    Roads
    Trade routes
    Markets
    Economic goods
    Economic conditions
    New agricultural enterprises
    Consumer goods
    Road transportation
    Trucking
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    Citable URI
    http://hdl.handle.net/11540/10514
    Metadata
    Show full item record
    Thumbnail
    RPR_FY2018_03.pdf (7.182Mb)
    Author
    Ambashi, Masahito
    Theme
    Transport
    Trade
     
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise
    Copyright 2016-2021 Asian Development Bank Institute, except as explicitly marked otherwise