HCMC – IPP Air Cargo JSC, whose chairman is well-known businessman Johnathan Hanh Nguyen, has proposed the Ministry of Planning and Investment and some other relevant ministries and agencies consider its proposal to establish the IPP Air Cargo airline specializing in cargo transport.
The airline will operate both in Vietnam and abroad, the local media reported.
IPP Air Cargo JSC is an arm of Imex Pan Pacific—a retailer that makes up nearly 70% of Vietnam’s luxury items market and a large shareholder of Southern Airports Services JSC and Cam Ranh International Terminal Company.
IPP Air Cargo airline has a total investment of VND2.4 trillion, including 30% of IPP Air Cargo JSC’s equity and 70% mobilized.
IPP Air Cargo expects to transport some 115,000 tons of cargo and generate revenue of US$71 million in the first year of operation. It hopes to earn profits from the fourth year.
Vietnam has yet to have a cargo transport airline. Meanwhile, more than 80% of Vietnam’s imports and exports transported by air have been conducted by foreign airlines.
Since the Covid-19 outbreak, many Vietnamese air carriers have used aircraft transporting passengers to transport cargo to earn more revenue.