Nov 27, 2017 / 14:52
Vietnam Airlines eyes direct flights to United States in late 2018
Vietnam Airlines plans to launch direct flights to the United States late next year, but local experts said the air route will cause big losses for the national flag carrier.
"The direct air route (between Vietnam and the United States) will be heavily loss-making. Vietnam Airlines can endure that if its other air routes compensate for the loss".
A representative of the Civil Aviation Administration of Vietnam said that the country will not force carriers to open direct routes to the United States, and that they can drop plans if the future routes do not meet their expectations. In 2007, the administration predicted that if Vietnam Airlines opened direct routes to the United States, it would incur losses of some 30 million U.S. dollars in the first five years of running the service, but its prestige and competitiveness would be enhanced.
As fuel prices are declining, and demand for travel and trade exchange is increasing, the potential loss will be streamlined, said local experts.
Vietnam's aviation sector served 38.3 million passengers in the first 10 months of this year, up 11.4 percent year-on-year, said Vietnam's General Statistics Office.
The sector also transported 262,100 tons of cargoes in 10 months, up 8.8 percent year-on-year, the office said.
A representative of the Civil Aviation Administration of Vietnam said that the country will not force carriers to open direct routes to the United States, and that they can drop plans if the future routes do not meet their expectations. In 2007, the administration predicted that if Vietnam Airlines opened direct routes to the United States, it would incur losses of some 30 million U.S. dollars in the first five years of running the service, but its prestige and competitiveness would be enhanced.
As fuel prices are declining, and demand for travel and trade exchange is increasing, the potential loss will be streamlined, said local experts.
Vietnam's aviation sector served 38.3 million passengers in the first 10 months of this year, up 11.4 percent year-on-year, said Vietnam's General Statistics Office.
The sector also transported 262,100 tons of cargoes in 10 months, up 8.8 percent year-on-year, the office said.
Other News
- North-South high-speed railway to open up new economic opportunities
- Prime Minister calls on China to pilot border economic cooperation zone
- State-owned corporations set to pilot offshore wind power projects
- AIIB ready to fund Hanoi’s urban railway projects
- S.Korea’s industrial conglomerates to expand investment activities in Vietnam
- Intel boosts Vietnam’s semiconductor workforce for ambitious goals
- Vietnam among top investment destinations for SEA investors
- Vietnam looks to support FDI firms as global minimum tax looms
- Factors unlocking Vietnam’s potential in FDI attraction: HSBC
- Opportunity at hand: Leveraging global minimum tax for FDI attraction
Trending
-
PM shares Vietnam’s experience in poverty reduction at G20 Summit
-
Vietnam news in brief - November 19
-
Hanoi’s annual friendship cycling journey attracts over 300 participants
-
A Hanoi artisan turns straw into appealing tourism product
-
“Look! It’s Amadeus Vu Tan Dan” workshop - an artistic journey for kids
-
Vietnam news in brief - November 15
-
Experiencing ingenious spaces at the Hanoi Creative Design Festival 2024
-
Hanoi Festival of Creative Design 2024: celebrating the capital's cultural innovation
-
Expatriate workforce in Hanoi: Growth engine requring thorough administration