On November 24, the famous German airline – Lufthansa Cargo AG announced the opening of a cargo route to Hanoi. The flight to open the new route took off on November 2, 2022. After transiting in Mumbai, the Boeing 777F arrived in Hanoi on schedule on November 3. Since then, Lufthansa Cargo has operated flights to Hanoi with a frequency of twice a week .
This is the second route that this airline has opened in Vietnam, after opening the first route to Ho Chi Minh City in 2015. Along with the two flights per week to Ho Chi Minh City already available, the airline has doubled its transport capacity to Vietnam and is now The only cargo airline in the market with direct flights from Hanoi (Vietnam) to Frankfurt (Germany) – a center for transshipment of goods by road and by air to countries in the European region and around the world.
“Vietnam is always on the list of concerned and prioritized for expansion”
Commenting on the Vietnamese market, Lufthansa Cargo leaders said that Ho Chi Minh City – the economic center in the south and Hanoi capital – in the north are two regions with significant economic growth in Lately year. As a manufacturing hub, Vietnam’s role has become increasingly important as it has witnessed rapid growth in the volume of goods exported to other countries, including the European market. This leads to an increase in the demand for air freight.
Specifically, the total volume of goods transported by air in Vietnam has steadily increased 2.5 times in every 10-year cycle. This number has increased from 600,000 tons in 2011 to 1.5 million tons in 2021. It is expected that by 2030, the total volume of goods transported by air in Vietnam will increase to 4.1 million tons. Of which, 80% are exported goods.
Also, according to 2021 data, 17% of exported goods are phones, 15% are computers , 11% are machinery and equipment. Meanwhile, fashion and apparel accounts for 10% of output, leather shoes for 5%, and seafood for 3%.
The North market in general and Hanoi in particular is considered to have strong growth potential, especially for electronic and high-tech products. This is where many “queen bees” in the electronics and technology industry choose as investment places such as Panasonic (1971), LG Display (1995), Canon (2001), Foxconn (2007), Samsung (2008), Fuji Xerox ( 2013) and more recently corporations such as Pegatron, Goertek, Jinko Solar.
” Vietnam is always on the list of concerns and priority to expand as soon as possible. When we got our 16th Boeing 777F, we decided to open a route in Hanoi, because this had been in the plan for a long time.
Air freight is a short-term business model, having to make decisions in a short time. However, to open a route, to meet the service capacity as well as to fly to a new flight point, it takes time. Usually 6 months but we made it within 4 months “, Mrs. Doan Bich Thuy – Lufthansa Cargo Country Director in Vietnam shared.
Long-term commitment plan, do not open temporarily and then close
Lufthansa Cargo’s Country Director for Vietnam said that currently electronics, auto parts and clothing are three of the items shipped from Hanoi most frequently. Even this airline has also transported VinFast cars to Europe.
“Most of VinFast’s cars are transported by sea because air freight is very expensive. However, we can provide customers with a suitable solution, in terms of both time and service. Do There were Lufthansa Cargo flights carrying about 5-6 VinFast cars/trip to Europe.” Mrs. Thuy told us.
A total of four weekly cargo flights to and from Vietnam will bring a regular freight capacity of 250 tons per week.
Lufthansa Cargo’s freight service to Vietnam is operated by AeroLogic (a joint venture between DHL Express and Lufthansa Cargo).
Lufthansa Cargo leaders also affirmed that opening a cargo route to Hanoi is a long-term commitment, not temporarily opening and closing after a while. Although also affected by the global economic downturn, the company has carefully prepared to overcome.
“The air freight industry is part of world trade and of course we are also affected by the downturn in the economy. However, the economy is still working, not stopping. that’s the most important thing is to provide a suitable, exact solution for our customers That’s why in Lufthansa Cargo’s strategy, we want to help customers do business conveniently and quickly. , so that they do their business well. An important factor is Lufthansa Cargo’s knowledge and experience in transporting a wide variety of goods. For example, high-tech products or special goods require careful transportation, dismantling and care during transportation. We provide faster, innovative, breakthrough solutions with a high quality to our customers” said Mr. Ashwin Bhat – Commercial Director of Lufthansan Cargo.
Since the Covid-19 pandemic took place, Vietnamese airlines have expressed their ambition to penetrate deeper into the market specializing in air freight. In September 2022, Vietravel Airlines and Asean Cargo Gateway (ACG) announced a partnership to contribute capital to VUAir Cargo to promote cargo business, air cargo operations, and cargo agency for airlines. not in the area. Meanwhile, IPP Group of “brand name king” Johnathan Hanh Nguyen has been very active in applying for a license to open an IPP Air Cargo airline. However, at the end of October 2022, Ms. Le Hong Thuy Tien – General Director of IPP Air Cargo Joint Stock Company sent a document to the Government Office and specialized State management agencies to request a suspension of business licenses. IPP Air Cargo air freight. The reason given is that the world economic situation is getting worse, the global recession is becoming more and more present, and fuel price fluctuations will directly affect the freight industry.