ACV Reports Long Thanh Airport Labor Shortage, Fuel Cost Pressure

Overview

Airports Corporation of Vietnam (ACV) reported labor shortages and rising fuel costs are impacting construction progress at the Long Thanh International Airport project in Đồng Nai. The state-owned airport operator cited payment delays to contractors and competition from large-scale infrastructure projects nationwide as primary causes, creating execution risk for the VND 86,357 billion project.

Key Facts

• As of April, the Long Thanh airport project has completed approximately VND 64,313 billion out of VND 86,357 billion in contract value, representing 74.47% completion.
• The project’s Component 3 has 15 main construction packages; only 3 are finished (fence system, leveling/drainage, passenger terminal piles), with 12 still under construction.
• Labor force is declining notably at Package 4.8 (technical infrastructure and internal airport traffic) and Package 5.10 (passenger terminal construction).
• Diesel price increases from approximately VND 18,000/liter to VND 45,000/liter are adding an estimated VND 2 billion in fuel costs per construction shift.
• The construction site currently mobilizes about 2,500 pieces of equipment (excavators, bulldozers, rollers, cranes, generators, concrete mixers).
• Prime Minister Phạm Minh Chính has directed ACV to complete the Long Thanh airport by the end of 2026.
• Large contractors like VinCons are recruiting 100,000 workers with salaries ranging from VND 14 million/month for laborers to VND 41 million/month for team leaders.

What Happened

According to a periodic progress report cited by Dân trí newspaper, Airports Corporation of Vietnam (ACV) identified labor shortages and fuel price volatility as key difficulties at the Long Thanh airport project as of April. The report states that payment delays for completed work volumes have constrained contractors’ cash flow, making it difficult to pay wages and retain workers. Simultaneously, a surge in nationwide infrastructure projects has intensified labor competition, with workers migrating to sites offering more stable income.

The article from Pháp luật newspaper elaborates that contractors are facing dual pressures. Beyond labor issues, operational costs have escalated significantly due to Middle East tensions driving up fuel prices. With approximately 2,500 fuel-dependent machines on site, the diesel price spike is estimated to add VND 2 billion per shift. This comes as major construction firms like VinCons, Coteccons, and Hòa Bình Construction Group (HBC) are actively recruiting tens of thousands of workers for their own 2026 project pipelines.

Market Context

ACV shares (HOSE: ACV) closed at VND 46,000 on April 14, 2026, up 0.43% on volume of 222,100 shares. As the state-owned monopoly airport operator, ACV’s valuation is heavily tied to infrastructure execution, particularly the Long Thanh project which represents Vietnam’s largest transport infrastructure investment. The stock has been range-bound amid broader market volatility, with investors monitoring capex discipline and project timelines. The Prime Minister’s recent directive to complete the airport by year-end adds political pressure to the operational challenges reported.

Strategic Significance

The labor and cost pressures highlight structural constraints in Vietnam’s construction sector during a simultaneous infrastructure boom. For ACV, this raises project execution risk and potential cost overruns on a critical national project, which could impact future cash flows and dividend capacity. The situation underscores ACV’s dependency on contractor ecosystems and exposes vulnerability to macro factors like fuel prices and labor market tightness, challenging its ability to deliver on politically mandated deadlines without margin compression.

What to Watch

• ACV’s next quarterly earnings report for detailed cost impact and revised project timeline.
• Monthly construction progress reports from ACV to the Ministry of Transport.
• Diesel price trends and potential government fuel subsidies for national key projects.
• Labor retention rates at Long Thanh site following potential payment acceleration measures.
• Any formal project delay announcement or cost revision in regulatory filings.