Overall objective:

To develop and implement a smart border gate model at the Kim Thanh road bridge and Ban Vuoc clearance points, based on advanced technologies such as Artificial Intelligence (AI), the Internet of Things (IoT), and fully automated smart transport systems. The project aims to modernize multimodal logistics infrastructure, enhance connectivity with railways, inland container depots, expressways, and strengthen trade links between Vietnam, ASEAN countries, and Southwest China. It also seeks to establish a major logistics and trade hub, improve competitiveness, promote international integration, ensure national defense and security, and support sustainable development in the Vietnam - China border region.

Specific objectives

To deploy smart border gates by applying modern science and technology to cross-border cargo transportation. The model is expected to increase clearance capacity and efficiency; address congestion issues; reduce transportation costs and optimize customs procedures; improve the business environment and attract import-export enterprises; increase state budget revenue; enhance logistics service quality; prevent smuggling, trade fraud, counterfeit and substandard goods; reduce emissions, protect the environment, improve labor safety, and ease traffic pressure; maintain political security, social order, and national sovereignty.

The project also promotes cross-border e-commerce and the application of digital technologies in managing and operating import-export activities.

Key targets by 2030

Double the cargo transport capacity at the two clearance points; reduce average logistics costs by 20 - 30% for enterprises using fully automated smart transport vehicles; minimize customs processing time while ensuring safety and environmental standards; achieve a total import-export turnover of approximately USD 9 billion.

Scope and beneficiaries

Subjects: Development of smart border gates at Kim Thành and Bản Vược clearance points under Lào Cai International Border Gate.

Scope: Implementation of a fully automated, unmanned cargo transportation model using AI-guided intelligent vehicles (IGV), based on bilateral agreements between Vietnam and China. The model integrates advanced technologies such as AI, IoT, Big Data, 5G networks, satellite positioning systems, and other modern solutions for managing, monitoring, and supervising import-export activities.

The smart model will apply to selected categories of goods, while traditional transport methods will continue to operate in parallel.

Goods eligible under the smart model

Agricultural products, electronic components from Vietnam and ASEAN countries; fertilizers, coke, chemicals, electronic components, e-commerce goods, and agricultural products from China.

The two sides (Lao Cai - Vietnam and Yunnan - China) will continue to coordinate and gradually expand the list of goods based on practical demand and development potential.

Implementation timeline

Starting from the second quarter of 2026 (Q2/2026):

Kim Thanh road bridge clearance point

Phase 1 (Q2/2026 - Q1/2027): Investor selection; infrastructure and IT system development; legal framework completion.

Phase 2 (from Q2/2027): Operation and further infrastructure development.

Ban Vuoc clearance point

Phase 1 (Q2/2026 - Q4/2028): Opening the clearance point; investor selection; infrastructure and IT development; legal framework completion.

Phase 2 (from Q1/2029): Operation and infrastructure expansion.

Implementation roadmap

Kim Thanh clearance point

Phase 1: Develop and finalize legal documents, procedures, standards, and technical regulations; define responsibilities of stakeholders; establish pilot mechanisms for fully automated transport using AI-guided vehicles; select investors and build infrastructure and IT systems; ensure data and infrastructure connectivity with China; conduct training and technology transfer.

Phase 2: Monitor and evaluate operations; expand warehouse systems and logistics services; negotiate with China on dedicated lanes for automated vehicles.

Ban Vuoc clearance point

Phase 1: Report and propose adjustments to its classification; complete procedures to officially open the Ban Vuoc - Ba Sai clearance point; develop legal frameworks, infrastructure, and IT systems; coordinate with China for data and infrastructure integration; conduct training and technology transfer.

Phase 2: Monitor operations and address arising issues; expand logistics infrastructure; continue negotiations on dedicated automated transport lanes.

Reporting mechanism

At the end of Phase 1 for each clearance point, the People’s Committee of Lao Cai province shall report the implementation results to the Prime Minister and relevant ministries and agencies. From Phase 2 onward, annual reviews and evaluations shall be conducted, with recommendations submitted to the Prime Minister to address any challenges.