According to FedEx Express’ president and CEO Richard Smith, the US transport giant FedEx is planning to enhance its logistics operations at Tan Son Nhat International Airport in Ho Chi Minh City (HCMC).
After over 30 years in the country, FedEx regards Vietnam as a key market in the Asia-Pacific region, with 36 weekly flights to and from Vietnam. The CEO has also praised the country’s favorable business environment, which is necessary for the company’s development.
The Vietnamese government encourages FedEx to increase flights and cargo transport in Vietnam and support the development of the country’s airport and logistics network. The Vietnamese Prime Minister also requested that FedEx share its expertise with local partners in transport and logistic services and provide fast delivery services within the global supply chain. Furthermore, the country seeks FedEx’s assistance in developing the Long Thanh mega airport project and urges the company to expand its investment and activities in this area.
Long Thanh airport, located about 40 kilometers east of HCMC, has a total investment exceeding USD 16 billion, divided into three phases. Once completed, it will be Vietnam’s largest airport and a major regional and global transit hub, easing the load on Tan Son Nhat Airport.
The US is Vietnam’s largest export market, with bilateral trade surpassing USD 100 billion for two consecutive years. In September 2023, the two countries upgraded their relationship to a comprehensive strategic partnership.
FedEx Express, known for its time-sensitive air-ground express service to 220 countries and territories, reported revenue of USD 90.2 billion in 2023.
According to the General Statistics Office, cargo transport in Vietnam reached nearly 1.03 million tons in the first five months of 2024, an 11.4% increase year-on-year, with air freight accounting for 0.2 million tons, up 47.5% year-on-year.
(Source: The Investor)
