Awakening the logistics growth driver of Central Vietnam

Logistics serves as the backbone of cross-border trade, ensuring seamless and efficient flows of goods. Under the Regional Development Master Plan for 2021–2030, the North Central and Central Coastal Region has been designated as a logistics hub connecting North–South and East–West corridors, with a target of contributing over 6% of the national logistics revenue by 2050.

Strategically located along the North–South trade axis and sharing borders with Laos via international border gates and key seaports, this region plays a crucial role in transnational transportation. The East–West Economic Corridor (EWEC) and connecting routes through international border gates act as vital arteries, facilitating the movement of goods among Vietnam, Laos, Thailand, and Myanmar, and further linking to ASEAN and South Asian markets.

A Potential Growth Pole Awaiting Activation

With the natural advantage of “leaning against the Truong Son Mountains and facing the East Sea,” the region is well-positioned to develop a multimodal logistics ecosystem that integrates road, rail, air, and sea transport—serving import-export activities and cross-border logistics services.

The development of next-generation transport corridors is not only essential but also a strategic catalyst for the region to emerge as a vibrant logistics hub with strong international connectivity.

Such corridors play a particularly important role in unlocking the untapped potential of the East–West Economic Corridor (c)—a strategic transnational route within the Greater Mekong Subregion (GMS). Stretching from Da Nang Port in Vietnam through Savannakhet (Laos), Mukdahan (Thailand), and ending at Mawlamyine Port in Myanmar, the EWEC is expected to become one of the most efficient trans-Asian transport corridors, enabling landlocked countries like Laos to access the East Sea quickly and at lower cost.

However, EWEC has yet to realize its full potential due to incomplete infrastructure, limited capacity of local logistics enterprises, and the absence of distribution centers along the route. Therefore, investing in and upgrading next-generation corridors—with integrated physical and digital infrastructure, multimodal connectivity, and modern management—is seen as the key to unlocking this potential.

In particular, the establishment of logistics centers and service-based industrial zones along the corridor will help restructure supply chains, promote two-way trade, and serve as a strong growth driver for the region. Furthermore, policy coordination among Vietnam, Laos, and Thailand on streamlining customs procedures, implementing single-window mechanisms at border gates, and deploying cross-border smart transport systems will create a more efficient, secure, and favorable environment for logistics operations.

This forms the foundation for EWEC to become more than just a transport route—it can transform into a true economic development corridor, driving sustainable growth across the region.

Challenges in Cross-Border Logistics

Despite its enormous potential, cross-border logistics in the region still faces multiple challenges. Infrastructure remains fragmented; several national highways, rail lines, and border connections are underdeveloped and inadequate for high-volume transport. Customs and quarantine procedures remain overlapping, and clearance processes at international border gates are not yet modernized—leading to delays and higher costs.

Logistics operations lack comprehensive service offerings, high-quality logistics services are limited, and local logistics firms remain few and uncompetitive.

The Regional Master Plan for the North Central and Central Coastal Region focuses on developing the central growth pole as a national engine of development. It promotes the establishment of both North–South and East–West economic corridors.

In particular, the region aims to develop logistics services in a modern and professional direction, applying advanced technologies to meet international integration demands. It also seeks to establish logistics centers linked with seaports, airports, and border gates, and to develop regional and national logistics hubs based on existing port systems and international transport corridors. The region aims to contribute over 6% of total national logistics revenue.

To overcome bottlenecks, experts recommend breakthrough solutions: heavy investment in logistics infrastructure, multimodal transport systems, and connectivity between seaports, dry ports, warehouses, and railway terminals. Customs procedures should be digitalized and modernized, moving toward a single-window mechanism. Incentives should be offered to attract international logistics firms, alongside efforts to develop a high-quality logistics workforce. Pilot projects for free trade zones and cross-border logistics centers should be pursued to create a flexible institutional framework for international trade.

Next-generation transport corridors are not just physical routes—they are strategic bridges that integrate the North Central and Central Coastal Region into the global supply chain. Developing cross-border logistics in a systematic, modern, and sustainable manner is the key to enhancing regional competitiveness, attracting investment, and generating long-term economic momentum. It is the “golden lever” for elevating Central Vietnam’s regional role and strengthening its connectivity with Laos, Thailand, and the wider ASEAN community.

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Contact:

Journalist Thy Hang, Tel: 0904 788 233 Email: thyhang@dddn.com.vn

Journalist Hong Minh, Tel: 0972 662 626 Email: minhngoc.vcci@gmail.com

Journalist Thu Duyen, Tel: 0963 046 382 Email: duyen.dddn@gmail.com

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