Vietnamese aviation has huge room for expansion
Vietnam’s aviation market boasts huge potential for expansion. Illustration image (Photo: VNA)
The Airports Corporation of Vietnam (ACV) has invested heavily in airport infrastructure development as Vietnam’s aviation market boasts huge potential for expansion, according to an official from the corporation.
Deputy head of ACV’s business and market development board Nguyen Quoc Hung said that more than 25 trillion VND (over 1 billion USD) has been poured into expanding infrastructure over the last five years to better serve the growth being seen in passenger and cargo traffic.
“During 2021-2025, ACV will need around 120 trillion VND to complete infrastructure,” he added.
Vietnam’s air transportation market recorded substantial development during 2012-2019, he said, from infrastructure to aircraft fleets and flight networks, adding that air passenger and cargo traffic surged by an average of 17 and 13 percent, respectively, in the period.
COVID-19 wreaked havoc on the sector, however, with passenger numbers falling 41 percent last year against 2019 and air freight 8 percent.
International goods accounted for 80 percent of total air freight, but Vietnamese carriers only account for a market share of 12 percent.
According to Hung, Vietnam’s air transport industry has huge potential to develop thanks to favourable conditions brought about by Government policies and the country’s participation in international organisations such as ASEAN, APEC, and the WTO, and several free trade agreements.
The boom in e-commerce and increasing demand for online shopping have also sparked a surge in freight volumes.
Hung remains upbeat about air transport, as Airport Council International (ACI) forecasts that Vietnam will be one of ten countries with the fastest development in air passenger numbers during 2018-2040.
Nguyen The Duyet, deputy head of the Vietnam Airlines Corporation’s Cargo Planning and Marketing Board, said local air cargo transport is recovering, with freight up 4.2 percent in January and 9.6 percent in February compared to the same period of 2019./.
Related News
Vietnam and UAE trade sees billion-dollar growth
07:15 | 03/11/2024 Import-Export
Vietnam's daily import expenditure surpasses VND25,000 billion
09:30 | 31/10/2024 Import-Export
Vietnam - UAE trade grows to billions of dollars
08:55 | 30/10/2024 Import-Export
Launch of the “Proud of 80 years of construction and development of Vietnam Customs” contest
09:08 | 30/10/2024 Customs
Latest News
Increasing opportunities for exporting agricultural products to China by rail
15:31 | 05/11/2024 Import-Export
Monthly aquatic exports top 1 billion USD again after 2 years
15:00 | 05/11/2024 Import-Export
EU partners no longer 'lenient', Vietnam must adapt through ESG policies
09:02 | 05/11/2024 Import-Export
Changes in Canada's trade defense laws
09:00 | 05/11/2024 Import-Export
More News
Import and export are expected to reach 800 billion USD
13:32 | 04/11/2024 Import-Export
Fresh coconuts quenching new overseas markets
13:29 | 04/11/2024 Import-Export
Rice exports likely to set new record in 2024
13:25 | 04/11/2024 Import-Export
Vietnamese goods conquer halal market through trust and quality
09:57 | 04/11/2024 Import-Export
Exporters urged to have strategies to take advantage of UKVFTA for expansion
17:33 | 03/11/2024 Import-Export
Fresh coconuts quenching new overseas markets
17:29 | 03/11/2024 Import-Export
Sharing responsibility for ensuring security and safety of the supply chain
07:13 | 03/11/2024 Import-Export
Many factors affecting tuna exports in the last months of the year
19:38 | 02/11/2024 Import-Export
Vietnam still dominates Philippine rice import
19:36 | 02/11/2024 Import-Export
Your care
Increasing opportunities for exporting agricultural products to China by rail
15:31 | 05/11/2024 Import-Export
Monthly aquatic exports top 1 billion USD again after 2 years
15:00 | 05/11/2024 Import-Export
EU partners no longer 'lenient', Vietnam must adapt through ESG policies
09:02 | 05/11/2024 Import-Export
Changes in Canada's trade defense laws
09:00 | 05/11/2024 Import-Export
Import and export are expected to reach 800 billion USD
13:32 | 04/11/2024 Import-Export