The strong growth of air travel demand in Vietnam
- 147
- Business
- 16:46 18/07/2024
DNHN - Vietnam is becoming a top tourist destination in Southeast Asia, with the strong growth in air travel demand creating both opportunities and challenges for the industry.
![Economic development and rising incomes have also contributed to the growing demand for air travel in Vietnam Economic development and rising incomes have also contributed to the growing demand for air travel in Vietnam](https://media.doanhnghiephoinhap.vn/uploads/2024/07/18/vietnam-air-travel-growth-1721295776.jpeg)
With the stunning natural beauty, diverse cultural heritage, and excellent cuisine, Vietnam has become an attractive destination for international tourists. In 2023, the number of international visitors to Vietnam exceeded 20 million, a 25% increase compared to the previous year. This significant increase underscores the importance of the aviation industry in connecting Vietnam to the world.
One of the main factors contributing to the strong growth of air travel in Vietnam is the development of the aviation transportation system. Currently, Vietnam has about 10 airlines operating, including national carriers like Vietnam Airlines and low-cost carriers such as Vietjet Air and Bamboo Airways. The competition among airlines has benefited travelers by improving service quality and reducing airfares.
Economic development and rising incomes have also contributed to the growing demand for air travel in Vietnam. The country has become a popular destination for international tourists from Asian countries such as China, South Korea, and Japan. Additionally, tourists from Western countries like the United States, Europe, and Australia also seek to explore Vietnam's cultural and natural beauty. The variety of destinations and travel experiences has attracted the interest and demand of tourists.
In the future, the strong growth of air travel demand in Vietnam is expected to continue. This poses a challenge for the tourism industry in meeting the needs of tourists by providing accurate, attractive, and visual information.
At the Conference on Rapid and Sustainable Tourism Development, chaired by Prime Minister Pham Minh Chinh, it was noted that the tourism market is recovering after COVID-19 and the policy of reopening, but the aviation industry is still at a low growth level. By October 2023, the international air transport market had recovered to 97% of its pre-pandemic level. The Asia-Pacific region reached 73%, while Vietnam was at 72%.
To achieve the goal of 50 million international tourists by 2025, Mr. Le Hong Ha, General Director of Vietnam Airlines, stated at the conference that the National Tourism Development Strategy needs to be reconsidered to enhance competition with other regional destinations. Additionally, an effective tourism promotion program needs to be developed, ensuring the close participation of various ministries and businesses to showcase Vietnam's tourism potential and beauty to the world.
Furthermore, the development of green and sustainable aviation is considered necessary for Vietnam to maintain its competitive advantage in tourism. Measures such as using environmentally friendly fuels and integrating tourism data through digital technology will also help enhance the travel experience and attract tourists to return to Vietnam.
According to forecasts from the Civil Aviation Authority of Vietnam, the Vietnamese aviation market is following the trend of the Asia-Pacific market and is expected to recover by the end of 2024. The forecast indicates that the total demand for passenger transportation by air in 2024 is expected to reach about 84.2 million passengers, an increase of 15% compared to 2023 and 6% higher than in 2019.
Despite many positive signals, the aviation industry still faces numerous challenges and potential risks. These include negative factors affecting the economy, political and social instability in countries worldwide, limitations in infrastructure capacity, and unfavorable developments in aviation fuel prices.
Meanwhile, according to forecasts from the International Air Transport Association (IATA), the global aviation market is expected to fully recover by the end of 2024. The Asia-Pacific region, which is the slowest to recover, could escape losses and achieve a profit of about $1.1 billion in 2024. IATA also predicts that global airlines will record record revenues of up to $964 billion, with passenger transport revenues expected to reach about $717 billion, an increase of 12% compared to 2023.
Phong Ha
Related news
#Vietnamese businesses
![Two Vietnamese developers featured in Apple's latest honors project](https://media.doanhnghiephoinhap.vn/uploads/2024/08/12/apple-developers-1723474603.jpg)
Two Vietnamese developers featured in Apple's latest honors project
The app named DreameChaser by two Vietnamese developers is among the few listed in the "Dare to Dream" category on the App Store.
![The data center market in Vietnam: High demand, great potential](https://media.doanhnghiephoinhap.vn/uploads/2024/08/09/data-center-market-vietnam-1723172591.png)
The data center market in Vietnam: High demand, great potential
According to Minister of Information and Communications Nguyễn Mạnh Hùng, investing in data centers is a new type of investment for telecom operators.
![Businesses need to increase adaptability to join the global supply chain](https://media.doanhnghiephoinhap.vn/uploads/2024/07/25/hanoi-business-support-1721898663.jpg)
Businesses need to increase adaptability to join the global supply chain
Although the supply chain has gradually been restructured, in reality, most of Vietnam's industrial enterprises are still small and fragmented, unable to deeply participate in the value chain.
![Vietnamese brands reaching international markets](https://media.doanhnghiephoinhap.vn/uploads/2024/09/07/viet-brand-reach-international-1725686050.jpg)
Vietnamese brands reaching international markets
Although Vietnam is regarded as the new manufacturing hub as multinational companies implement the "China+1" strategy, very few domestic brands are known by foreign consumers.
![General Secretary and President Tô Lâm: "Although it is a small and medium-sized business community, it is very large..."](https://media.doanhnghiephoinhap.vn/uploads/2024/08/23/z5759041952652-469345254648504f9df39e9a62d714a0-1724405553.jpg)
General Secretary and President Tô Lâm: "Although it is a small and medium-sized business community, it is very large..."
On the afternoon of August 22, General Secretary and President Tô Lâm received a delegation of the Vietnam Association of Small and Medium Enterprises. This important and meaningful event was organized by the Business and Integration Magazine.
![Vinmec wins "double" at the HR Asia Awards](https://media.doanhnghiephoinhap.vn/uploads/2024/08/10/vinmec-award-1-1723264288.jpg)
Vinmec wins "double" at the HR Asia Awards
Vinmec Healthcare System was honored with two awards at the HR Asia Awards 2024 ceremony on August 8. The double awards further affirm Vinmec's excellence in both the working environment and the professional development environment.
Đọc thêm Business
Apartment prices continue to rise far beyond workers' incomes
Apartment prices continue to rise sharply, increasingly out of reach for workers' incomes. This gap not only creates significant financial pressure but also makes homeownership increasingly difficult for the majority of people.
The stock market faces increasing selling pressure, VN-Index sank into the red
The strong selling pressure across the market, especially in the blue-chip stocks, has caused the VN-Index to drop sharply, even falling below the 1,270-point mark at times.
VREC and HREC create opportunities for member businesses to connect with Nippon Paint Vietnam
Recently, at the headquarters of Nippon Paint Vietnam, the Vietnam Real Estate Club (VREC) and the Ho Chi Minh City Real Estate Club (HREC) successfully organized a networking event for member businesses.
Cash flow real estate: New investment trend in 2024
Cash flow real estate has become an investment trend in 2024 due to its stable profitability from leasing and business operations. Interest in this type of real estate demonstrates the demand for sustainable profits in an uncertain economic context.
Is the gold price stabilization policy truly effective?
Dr. Bùi Duy Tùng, an Economics lecturer at RMIT University, assesses the pros and cons of the gold price stabilization policies implemented by the State Bank of Vietnam (SBV) in recent times.
Why is there a need for a development proposal in the field of cultural industries?
In the context of globalization and the booming creative economy, cultural industries are increasingly important in national development strategies. Vietnam needs a development proposal in this field to tap into its potential.
Mastering Real Estate Business Law to be ready for the next growth cycle
In the context of the changing real estate market alongside new legal regulations, understanding the Real Estate Business Law is a crucial factor for businesses and investors to seize opportunities and prepare well for the new cycle.
The impact of FDI on the growth of serviced apartments
Foreign direct investment (FDI) stimulates the growth of serviced apartments by increasing demand from international experts. FDI drives market expansion, particularly in rapidly developing areas.
"Vietnam's startup ecosystem in 2024 remains on a path of promising development"
This is also the assessment of Dr. Chu Duc Hoang, Chief of Office of the National Technology Innovation Fund, when evaluating the overall picture of Vietnamese startups from the beginning of 2024.
Export-import credit is entering a “busy season”
Export-import credit is entering a bustling season, with increased activities to support businesses in expanding their international markets. Banks and financial institutions are ramping up funding, meeting the growing demand in global trade.