COMPREHENSIVE STRATEGIC COOPERATION BETWEEN FECON AND POWERCHINA TO PROMOTE KEY INFRASTRUCTURE DEVELOPMENT IN VIETNAM

FECON Corporation, one of the Top 10 most prestigious construction contractors in Vietnam, and Power Construction Corporation of China (PowerChina), which ranked 105th on Fortune Magazine’s 2023 list of the world’s 500 largest enterprises, have recently signed a Memorandum of Understanding (MoU) on comprehensive strategic cooperation. This marks a significant milestone in their partnership and sets the stage for the joint development of billion-dollar projects in the future.

The signing ceremony took place in the context that the Vietnamese government is resolutely making strategic breakthroughs in investing in a modern, synchronous infrastructure system, creating a strong driving force for economic development, including transportation infrastructure, modern, synchronous urban infrastructure, and energy infrastructure towards zero carbon by 2050. The Memorandum of Understanding is the basis for strengthening bilateral cooperation in strategic infrastructure fields, while opening a new phase of cooperation between the two sides through optimizing resources, sharing resources, and exploiting business opportunities in the Vietnamese and international markets.

According to the content of the MoU, FECON and PowerChina agreed to cooperate in key areas including: urban railway projects, high-speed railways, transit-oriented urban development (TOD), sea encroachment, ports and logistics; energy infrastructure projects such as liquefied natural gas (LNG), nuclear power, offshore wind power, large-scale pumped energy in the Vietnamese market and other countries in the region.

Speaking at the event, Mr. Pham Viet Khoa, Chairman of the Board of Directors of FECON, emphasized that the signing of the MoU not only affirms the strategic partnership between FECON and PowerChina, but also represents an important step toward the realization of Vietnam’s national key projects in support of the country’s sustainable development. He affirmed FECON’s commitment to leveraging its strengths in science and technology, human resources, and local expertise to work alongside PowerChina in the effective implementation of projects under the cooperation framework.

On PowerChina’s side, the group's representative expressed strong confidence in FECON’s capabilities, highlighting the company’s extensive experience and solid reputation in foundations, underground, and infrastructure construction. The close collaboration with FECON is expected to support PowerChina in expanding its presence in the Vietnamese market, while contributing to national key projects through the application of advanced technologies and global resources.

This agreement is not only a strategic step to strengthen the position and competitiveness of both parties, but also contributes to realizing the vision of developing a modern, synchronous infrastructure system nationwide, especially in the railway, seaport, logistics, and large-scale power projects.

Power Construction Group of China (PowerChina) operates in many industries and fields such as: master planning, survey and design, construction and installation, scientific and technological research and development, construction management, consulting and supervision, production and operation of investment in hydropower, coal-fired power, gas-fired power and renewable energy projects. In the transportation field, PowerChina has implemented 2,000km of high-speed railways and nearly 1,000km of urban railways in China and other countries around the world. In addition, PowerChina also participates in other infrastructure construction sectors such as waterway ports, airports, housing, industrial parks, waste treatment, etc.

According to Fortune Magazine, in 2024, PowerChina ranked 105th on the list of the world’s 500 largest enterprises and 32nd among the top 500 enterprises in China. Operating in 130 countries, the Group reports an annual revenue of approximately USD 100 billion. PowerChina Railway Company, a subsidiary of the Group, contributes around USD 5 billion in Annual revenue.

FECON is a leading enterprise in Vietnam specializing in foundation, underground, and infrastructure construction. It is the first Vietnamese contractor to directly participate in both the construction and operation of Tunnel Boring Machines (TBM) on major urban railway projects such as the Nhon–Hanoi Railway Station in Hanoi and the Ben Thanh–Suoi Tien Railway Station in Ho Chi Minh City.

FECON has contributed to numerous national key projects, including the Nghi Son Oil Refinery, Long Son Petrochemical Complex, Hoa Phat Dung Quat Steel Complex, thermal power plants across the country, as well as wind and solar power projects in Quang Binh, Binh Thuan, Soc Trang, and Tra Vinh. FECON has also been involved in major seaport developments such as Lach Huyen Port - Terminal No. 5 and 6 in Hai Phong, My Thuy Port in Quang Tri, and Baria Serece Port in Ba Ria – Vung Tau, alongside a wide range of other large-scale industrial and infrastructure projects.

FECON’s vision is to become Vietnam’s leading Construction and Infrastructure Development Group by 2030, with a long-term outlook to 2040, actively contributing to one of the Government’s three strategic breakthroughs: the development of a modern and synchronized national infrastructure system