FedEx Express introduces new flight into and out of Hanoi, Vietnam

FedEx subsidiary FedEx Express announced this week that it has rolled out a new flight into and out of Hanoi, Vietnam, which will connect the country’s capital to the FedEx APAC (Asian Pacific) hub based in Guangzhou, China.

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FedEx subsidiary FedEx Express announced this week that it has rolled out a new flight into and out of Hanoi, Vietnam, which will connect the country’s capital to the FedEx APAC (Asian Pacific) hub based in Guangzhou, China. The global transportation and logistics bellwether added that this route represents a major improvement in transit times for all inbound flights to Hanoi, as well as enable next-business-day delivery within Asia, which it has not previously offered.

There were various drivers for FedEx to introduce this new flight, according to Karen Reddington, President, Asia Pacific, for FedEx Express.

“FedEx Express is always looking for ways to optimize and adjust its existing operations and air network in response to the changing market and customer demand in the region,” she told LM. “Vietnam’s economy is growing. We recognize its potential and are committed to growing our footprint and portfolio of services in the country. The new flight route enhances FedEx services into and out of Hanoi, providing both importers and exporters in Vietnam better and faster access to global markets.”

That is made clear when considering the fact that Vietnam’s GDP growth for 2018 is forecast at 7.1% compared to 6.8% in 2017. Exports increased 21% from US$176.58 billion in 2016 to US$214.32 billion in 2017, and Vietnam is forecast to be the 21st largest export economy in the world in 2018.

What’s more, recent research commissioned by FedEx Express, cited by Reddington, found that 58% of Vietnam’s small and medium sized enterprises (SMEs) are exporting to markets in the Asia Pacific region and 80% were exporting to markets beyond. And half (50%) of Vietnamese SMEs are importing from other markets, almost to the same extent that they source within their own markets. SMEs in Vietnam are optimistic about the continued growth of imports and exports and support from logistics partners is a key factor in this growth.

When asked about the biggest customer benefits of this new flight, Reddington explained that both importers and exporters in Vietnam will benefit from better, faster access to global markets.

“Transit times for all inbound shipments to Hanoi are one business day faster, providing Vietnamese importers with greater competitiveness to Hanoi,” she said. “For instance, shipments from major business centers in Asia will arrive in one business day. Shipments from Europe and North America will arrive in two and three business days respectively. For Vietnamese exporters, they can now ship with next-day delivery from Hanoi to major intra-Asia business centers. Customers can benefit from the best transit time for shipments from Hanoi to Asian markets such as China, Singapore, Malaysia and the Philippines. Customers also have access to faster and more reliable access to destinations in Europe and North America in two business days.”

Prior to the introduction of this new flight, FedEx Express had once-a-week service flying from its Asia Pacific hub in Guangzhou, China to Hanoi to Ho Chi Minh City.

Reddington sad that this new flight route makes FedEx Express the first and only courier company flying five days a week to and from Hanoi, which provides greater custodial control and reliability to the customers in Vietnam, and enhances our capacity especially for heavier shipments. 

In terms of competitive benefits this flight provides for FedEx Express, Reddington said that FedEx offers the best transit time for shipments from Hanoi to Asian markets including China, Singapore, Malaysia, and the Philippines. In addition, customers now have access to faster and more reliable access to destinations in Europe and North America in two business days.

“The increased frequency and freight capability not only help meet increasing demand in Vietnam for better, faster access to global markets, the new B757 freighter also enables greater custodial control and reliability to meet the needs of importers and exporters in Vietnam and around the region,” she said.


About the Author

Jeff Berman, Group News Editor
Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman

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