Private investment to partly fund upgrades to Phu Quoc, Con Dao, Chu Lai airports

The central Quang Nam Province has sought the government’s approval to directly manage the Chu Lai airport expansion work at a cost of VND11 trillion (US$423.85 million).

Airport construction and upgrades are usually done by the Airports Corporation of Vietnam, a company in which the government holds a 95.4% stake.

The government has already approved the PPP model.

Chu Lai will be upgraded into an international airport under the master plan for airport development for 2021-30.

According to a proposal the province has submitted to the Ministry of Construction, the airport will add a runway measuring 3,048 meters, taxiways and parking space for 32-40 aircraft.

The passenger terminal will see its capacity increased to 10 million passengers annually and the cargo terminal to 1.5 million tons.

To prepare for APEC 2027 to be held on Phu Quoc Island, the southern Kien Giang Province is preparing to expand and upgrade the Phu Quoc International Airport also under the PPP model.

Sun Group and IPP Group have bid to invest in the upgrade of the terminal, taxiways and parking space and the construction of a new VIP lounge.

The Sun Group proposal includes expanding the passenger terminal to accommodate 18-20 million passengers and the cargo terminal to handle 50,000 tons.

Passengers at Phu Quoc International Airport in 2019. Photo by VnExpress/Ngoc Tai

The VIP terminal will spread over 6,000 square meters, an existing runway (Runway 1) will be lengthened to 3,500 m.

IPP Group wants to build Terminal 2 with an initial capacity of six million passengers and eight million in a subsequent phase.

Following the government's directive, the Ministry of Construction has ordered the Kien Giang Provincial People’s Committee to instruct relevant agencies to urgently complete the procedures for seeking approval of the investment policy for the Phu Quoc International Airport expansion project under the PPP model.

The Con Dao Island airport is also expected to be upgraded and expanded under the PPP model.

In December 2024, Ba Ria - Vung Tau Province proposed that the Ministry of Construction study and plan the upgrade and expansion of Con Dao Airport to meet international standards under the PPP model. The ministry has approved this proposal.

The overall upgrade project includes facilities for the airfield, flight operations, and air traffic control.

The work includes the airside area, infrastructure and civil aviation facilities, and will, once completed, accommodate large, wide-body aircraft such as the A320, A321, Airbus A350, and Boeing 787, international flights from Northeast Asia (Japan, South Korea) and some European and American countries and military aircraft.

But the Ministry of Construction believes the runway needs to be expanded to handle the larger aircraft, and will develop a master plan incorporating the necessary adjustments.

Based on this, the Ba Ria - Vung Tau People's Committee will draw up a proposal to solicit private investment in the upgrade work.