VIETNAM's air cargo industry is pushing through the Covid crisis, with flights picking up and a new homegrown freight carrier, reports Tokyo's Nikkei Asia.

The nation's 2022 air cargo traffic is expected to grow 17 per cent from last year to over 1.52 million tons.

It comes amid surging demand for domestic and overseas freight as Vietnam cements its position in global supply chains, with overall exports jumping 20 per cent to US$336 billion in 2021.

Major cargo operators such as Germany's DHL Express and Japan's ANA Holdings have been targeting the country.

"March was a record in terms of volume handled," said a major foreign logistics senior executive. "Even with the Covid pandemic, you can really feel the momentum of Vietnam," he said.

One of Vietnam's biggest conglomerates, IMEX Pan Pacific Group, is looking to land business through its IPP Air Cargo subsidiary.

It plans to launch with a fleet of five aircraft, before doubling that over the next five years.

"If we don't enter the market [freight rates will remain high], it will be a serious situation for exporters," said Pan Pacific group chairman Johnathan Hanh Nguyen.

Source Shipping Gazette