The VND3.30 trillion (USD129.25 million) tunnel would connect Sapa Town in Lao Cai with Tam Duong District in Lai Chau.
The route spans approximately 8.8 kilometres, comprising a 2.63-kilometre main tunnel, a 2.65-kilometre auxiliary tunnel, and 6.2 kilometres of approach roads and bridges.
Approximately 4.6 kilometres of the route will pass through Lai Chau, while 4.2 kilometres will run through Lao Cai.
Of the total investment, VND2.22 trillion will be for construction, and the remainder will be for equipment.
The project is expected to be funded with VND2.5 trillion from the central budget, VND710 billion from Lai Chau’s provincial budget, and VND90 billion from other sources. Construction is set to begin in 2027.
Once completed, the tunnel will enable vehicles to bypass a 22-kilometre stretch of National Highway 4D that runs through the Hoang Lien Pass. Vehicles travelling through the pass with 40 sharp bends face a high risk of accidents, particularly in winter when fog, snow, and ice are common.