Caption: Vietjet and UPS starts joint fly cargo between Asia and US
Vietnam’s Vietjet and UPS announced the start of joint operations to fly cargo between Asia and the U.S.
The companies also collaborated on deliveries between Bangkok, Kuala Lumpur, Hanoi and Ho Chi Minh City.
The airline halted most cross-border service, operating only 15,000 flights in the third quarter, mainly within Vietnam and Thailand — down from 34,000 flights across 12 Asian countries in the third quarter of 2019. It posted a loss of 926 billion dong ($40 million) in air travel in the third quarter of 2020, versus a loss of 1.1 trillion dong in the second quarter.
Do Xuan Quang, CEO of the company’s cargo operations said, “Vietjet has been one of the first airlines in Asia to navigate toward air cargo as part of a new business strategy unfolding in response to the pandemic.”
The airline was among the first to use excess space in passenger cabins to carry cargo for flights between Vietnam and Japan, South Korea, China, Hong Kong, Thailand, Malaysia and Indonesia. The recent tie-up with UPS will likely see it expand its cargo business.
“The cooperation with UPS paves the way for Vietjet to make Hanoi, Ho Chi Minh City and Bangkok regional logistics hubs for one-stop-shop cargo transportation services from Asia to Western destinations,” Vietjet’s Quang stressed.
Vietnam “is poised to benefit from shifts in global manufacturing and trade flows,” said UPS Vietnam and Thailand Managing Director Russell Reed.