Vietnam logistics firms small but dynamic: insider
Foreign-invested enterprises hold the lion's share of Vietnam's logistics market, but domestic firms are becoming more dynamic despite their small scale, said Duong Quang Duy, CEO of VietAviation Logistics.
A World Bank report showed that the growth rate of Vietnam's logistics industry has reached about 14-16% with a scale of about $40-42 billion per year.
However, the logistics industry has also encountered several difficulties and limitations, such as high costs and asynchronous infrastructure.
Regarding human resources, Vietnam will need over 200,000 logistics personnel by 2030, but only 10% of that number is likely to be met. In addition, the quality of the workforce remains low.
Of the more than 30,000 enterprises registered to operate in the logistics sector, domestic firms account for 89%, while 10% are joint venture companies and 1% are foreign owned. Despite holding this large percentage, domestic companies make up only 30% of the market share.
Duong Quang Duy, CEO of VietAviation Logistics, said that in Vietnam, cheap shipping rates and fast transportation are an advantage, especially for agricultural products. Currently, VietAviation's express delivery and logistics freight rates (including by sea and air) are estimated to be about 15% cheaper than international firms.
Domestic logistics businesses need to tap their own strengths to compete with international brands. Photo courtesy of VietAviation Logistics.
"International logistics companies are professional service providers. However, they cannot do everything. With more than 20 years working in the logistics industry, I have the desire to build VietAviation into a bridge that helps Vietnamese businesses steadily enter the markets of mainland China, Hong Kong, Macau and Taiwan thanks to lower costs and diversified services," he said.
"VietAviation has cooperated with large partners such as Viettel and Ahamove whose existing facilities are not at full capacity. As a startup, VietAviation focuses on developing its strengths of marketing, technology, understanding of the international market, and communicating to support customers," Duy said.
Meanwhile, Hamza Harti, CEO of France’s FM Logistics Vietnam, said that Vietnam has emerged as a strong contender to become a major hub for regional distribution centers in the Asia Pacific region.
With its strategic location, growing infrastructure, and competitive labor and operating costs, Vietnam offers attractive opportunities for businesses looking to establish or expand their operations in Asia, he said, adding the country’s long-standing trade heritage, and dynamic trade relations with neighboring countries further enhance its position as a prominent logistics hub in Asia.
However, he noted that currently, most domestic service businesses still follow traditional methods that do not bring high value. With the advantage of technical modernization, FM Logistics wants to become a provider of smart technology solutions for Vietnamese businesses to improve service value in the logistics supply chain.
Coordinating with partners and competitors is essential. As an FDI enterprise, FM Logistics does not have its own transport vehicles, so it is partnering with 30 domestic transport service providers, Hamza Harti said, expressing his ambition to make FM Logistics one of the top three logistics businesses in Vietnam.
More investment needed to reduce costs
Sharing the same view, Eric Liang, deputy CEO of Best Global Logistics Co., Ltd. and CEO of Best Express Vietnam, said that Vietnam is a large, fertile market that will continue to boom.
To develop sustainably, units need to invest more to reduce costs, shorten delivery times, and increase service quality, he noted.
According to Liang, the Southeast Asian market in general and Vietnam in particular hold great potential due to the presence of many large e-commerce platforms. Best Express has increased cooperation with these platforms to improve service quality. At the same time, Vietnam also has many small- and medium-sized enterprises that need to transport goods. These are customers that Best Express will target in the future.
The CEO assessed that with the e-commerce growth rate of 16-30% per year and a value of more than $20 billion, tightening expenditures is understandable amid the volatile economic context.
This resource will be spent investing in areas which are expected grow. When the economy is more stable, e-commerce will continue to boom. Therefore, this investment will help businesses quickly meet long-term market needs, he said.
With a network of more than 600 goods delivery offices in Vietnam, the Best Express representative acknowledged that Vietnam's logistics industry is growing thanks to the e-commerce boom, requiring shipping units to invest in networks and service quality.
Technology application is the key to helping businesses grow steadily and serve customers better. Best Express has cooperated with many units to apply cashless payment methods, minimizing risks for both sellers and buyers. Currently, the amount payments by QR code has increased by nearly 85% to trillions of VND (VND1 trillion = $39.33 million), he noted.
Duong Quang Duy, CEO of VietAviation Logistics, believed that Vietnam is one of the bright spots in the region for international investment. Its continued political stability will promote economic development with increased foreign investment flows.
"There is a trend of shifting investments from China to Vietnam due to global supply chain changes. I evaluate this as a good opportunity for logistics activities," he said.
- Read More
Vietnam's benchmark VN-Index records sharpest drop in 25-year history
VN-Index, which represents the Ho Chi Minh Stock Exchange (HoSE), saw the sharpest decline in its 25-year history on Monday, down by 94.76 points, or 5.47%, to 1,636.43.
Finance - Mon, October 20, 2025 | 5:49 pm GMT+7
Construction contractor Coteccons sets record FY2026 targets, capital base hike via share issue
Coteccons Construction JSC (HoSE: CTD), one of Vietnam’s largest construction contractors, has set ambitious targets for its fiscal year 2026, driven by a record order backlog and its push into international markets.
Companies - Mon, October 20, 2025 | 4:50 pm GMT+7
Real estate, gold markets to be fully established by 2026: Prime Minister
Vietnam plans to complete comprehensive legal framework for its financial, real estate, and gold markets by 2026 as part of a broader effort to modernize market infrastructure and accelerate economic growth, said Prime Minister Pham Minh Chinh.
Finance - Mon, October 20, 2025 | 3:33 pm GMT+7
Vietnam breaks ground on nation’s most advanced domed stadium in Hung Yen province
Vietnam’s Ministry of Public Security has broken ground on a 60,000-seat domed stadium in the northern province of Hung Yen, set to become the country’s most technologically advanced sports venue.
Society - Mon, October 20, 2025 | 2:48 pm GMT+7
Workforce and logistics - keys to sustainable e-commerce growth in Vietnam: experts
Businesses and online shop owners in Vietnam should pay greater attention to human resources and logistics, considering these factors “keys” to competitive advantage in the increasingly volatile e-commerce market, according to experts.
Economy - Mon, October 20, 2025 | 10:54 am GMT+7
Construction stocks ignite Vietnam’s market rally by year-end
FDI inflows into Vietnam are hitting record highs, while faster public investment disbursement and stable construction material costs are fueling a late-year surge in construction stocks, analysts said.
Finance - Mon, October 20, 2025 | 10:44 am GMT+7
Vietnam's central bank struggles to rein in cross-ownership
Cross-ownership and bank manipulation in Vietnam have eased, yet control remains elusive as shareholders and related parties conceal ownership through nominees, the State Bank of Vietnam (SBV) said in a report to the country’s legislature.
Banking - Mon, October 20, 2025 | 8:34 am GMT+7
Viettel Post-invested $27 mln logistics center project breaks ground in central Vietnam
Viettel Post, a subsidiary of military-run Viettel Group, has broken ground on an over VND722 billion ($27.41 million) logistics center project in Danang city, which is expected to enhance the logistics capacity of Vietnam's central and Central Highlands regions.
Industries - Sun, October 19, 2025 | 7:35 pm GMT+7
Vietnam's stock market regulator introduces green bond disclosure handbook
By enhancing transparency and standardizing disclosures, the Green Bond Disclosure Handbook that the State Securities Commission of Vietnam (SSC) introduced will build investor trust, reduce greenwashing risks, and support the growth of a credible and resilient green finance market in Vietnam.
Finance - Sun, October 19, 2025 | 2:11 pm GMT+7
Central Vietnam province Lam Dong seeks investment for 72 projects
The Lam Dong province People's Committee has called for investment in 72 projects across various sectors which are set for implementation in 2025 and the 2026-2030 period.
Industries - Sun, October 19, 2025 | 1:31 pm GMT+7
Vietnam's leading conglomerate Vingroup ventures into senior living market
Vingroup JSC (HoSE: VIC) has unveiled Vin New Horizon, a network of premium retirement and wellness communities built to international standards, marking the Vietnamese conglomerate’s strategic entry into the senior living market.
Industries - Sun, October 19, 2025 | 12:28 pm GMT+7
Vietnam’s agri major HAGL makes surprise return to property, saying land plot forgotten for 15 years
Vietnam’s agri major Hoang Anh Gia Lai JSC's (HAGL) return to real estate is an accident, after discovering a plot of land the company had “forgotten for 15 years” during its boom years, said chairman Doan Nguyen Duc.
Companies - Sun, October 19, 2025 | 10:02 am GMT+7
REE to set up 2 subsidiaries for wind projects in southern Vietnam
Ho Chi Minh City-based utility firm Refrigeration Electrical Engineering Corporation (HoSE: REE) has decided to establish two wholly-owned subsidiaries to develop two wind power projects in Vinh Long province, expanding its renewable energy portfolio in southern Vietnam.
Energy - Sun, October 19, 2025 | 8:00 am GMT+7
Australian CEO detained, NSH Petro’s recovery hopes collapse
The recovery prospects of NSH Petro (PSH) have dimmed after its Australian CEO was detained on allegations of fraud involving false promises of billion-dollar financing that led to the misappropriation of nearly $4.9 million.
Companies - Sat, October 18, 2025 | 6:53 pm GMT+7
Maintaining market status upgrade a bigger challenge: official
Vietnam's stock market status will be upgraded by FTSE Russell from "frontier" to "secondary emerging" from September 21 next year, but continued reform is critical as the bigger challenge is to maintain the new classification, said a market watchdog official.
Finance - Sat, October 18, 2025 | 1:30 pm GMT+7
HCMC partners with Nasdaq to develop int’l financial center
The Finance Department of Vietnam’s southern metropolis Ho Chi Minh City has signed an MoU with the U.S.-based stock exchange Nasdaq on the development of an international financial center (IFC).
Top News - Sat, October 18, 2025 | 11:56 am GMT+7






















