Korean Air to expand Vietnam operations amid rising demand for transport, freight services

THE HANOI TIMES — Korean Air plans to expand its passenger and cargo network in Vietnam, recognizing the country as its top cargo market in Southeast Asia amid growing demand and steady trade despite ongoing tariff challenges.

At an October 14 press briefing, Kyoung Hee Kang, Korean Air’s Regional Manager for Vietnam, said that the country hosts the airline’s largest regional network, with five destinations: Ho Chi Minh City, Hanoi, Danang, Cam Ranh and Phu Quoc.

In the first half of 2025, the airline carried nearly 375,000 passengers between Vietnam and South Korea, a 4% year-on-year increase.

The airline is now considering new destinations such as Quy Nhon, Hue and Da Lat, which are currently served by charter flights and plans to resume regular services to Danang and Nha Trang, Kang said.

South Korea is Vietnam’s second-largest source of international tourists, with 3.2 million visitors in January-September of 2025 and one of its leading foreign investors.

For Korean Air, this makes Vietnam a key market and a strategic hub in its Southeast Asian growth strategy, the Korean Air leader added.

She added that this year’s business results have surpassed expectations, with freight volume matching or exceeding last year’s 50,000 tons.

The airline is closely following the construction of the Long Thanh International Airport, which it expects will reshape Vietnam’s aviation landscape.

“This is a flagship project of the Vietnamese government, expected to become one of the region’s leading logistics and aviation hubs,” Kang said.

After inspecting the site, Sim Munman, the station manager at Korean Air, noted that while access roads, cargo terminals, and other facilities are still under construction, the project holds strong potential.

“Long Thanh shares many similarities with Incheon Airport and is poised to significantly boost Vietnam’s aviation market,” he said.

In air cargo, Korean Air operates its largest Southeast Asian freight base in Hanoi, with 11 flights per week and around 50,000 tons of exports in 2024. In Ho Chi Minh City, the airline runs three weekly freighter flights and additional cargo on passenger aircraft, handling about 16,000 tons last year.

Main exports include electronics, auto parts, mobile phones, fashion goods, e-commerce shipments and fresh produce bound for Osaka, Los Angeles, Chicago, Tokyo, Tianjin, Shanghai and San Francisco. The airline is also moving into new areas such as e-commerce logistics and renewable energy components, including solar batteries.

Korean Air recently signed a memorandum of understanding with Vietnam Airlines to strengthen cooperation in air cargo operations. The two carriers plan to expand joint routes to Europe, enhance ground handling collaboration in South Korea and deepen their cargo network between the two countries.

As demand rises, both domestic and international airlines are accelerating efforts to expand air cargo operations in Vietnam.

Vietnam Airlines plans to establish a dedicated cargo carrier by 2026 and partner with Singapore’s SATS Group to build and operate a cargo terminal at Long Thanh International Airport. The terminal, part of the airport’s first phase expected by late 2026, will have an annual capacity of 1.2 million tons.

T&T Group aims to develop Vietravel Airlines into a full-service aviation ecosystem that combines passenger transport and air cargo services, reflecting Vietnam’s growing potential as a regional logistics hub.