Guangzhou, China, November 1, 2023 – FedEx Express (FedEx), a subsidiary of FedEx Corp. (NYSE: FDX) and one of the world’s largest express transportation companies, announced a new flight between Ho Chi Minh City, Vietnam, and Guangzhou, China. The new flight offers faster transit times, further enhancing the connection between Vietnam and other markets in Asia, Middle East, Africa (AMEA), including China, and Europe through the FedEx Asia Pacific Hub in Guangzhou, China.
Effective October 31, 2023, the new flight will use a dedicated B767 freighter flying four evenings a week from Ho Chi Minh City connecting Asia and Europe through the FedEx Asia Pacific Hub in Guangzhou, China. Exporters shipping from Southern Vietnam will benefit from faster transit times for shipments to major Asian markets in just one business day, and two business days to Europe*. With the new service, FedEx is increasing its weekly flights from Ho Chi Minh City to Asia, Europe, and the United States market from 5 to 9, supporting businesses in tapping the huge growth potential in the region.
China and Southeast Asia are growing and diversifying their cooperation in manufacturing, driving higher value regional economic integration. Multilateral free trade agreements like the CPTPP and RCEP[1] are creating close-knit ties that are cultivating innovative growth points, such as new infrastructure and cross-border e-commerce. According to statistics from China’s General Administration of Customs (GAC), the total import and export value between China and other RCEP countries reached RMB 9.25 trillion in the first three quarters of 2023. Of this total, China’s import and export volume with Association of Southeast Asian Nations (ASEAN) countries accounted for over 50%, reaching RMB 4.68 trillion[2]. China has retained its position as ASEAN’s largest trading partner consecutively for 14 years, and the two sides have been each other’s top trading partner for three years. [3]
“We continue to transform our air network to offer differentiated service for our customers and that includes building capacity and creating faster connections to meet demand,” said Kawal Preet, president of Asia Pacific, Middle East, and Africa region, FedEx Express. “The Tiger Economies of Southeast Asia continue to grow at an accelerated pace，with a forecast of 4.9% growth in 2024.[4] What we see happening in Vietnam is a great example of these regional trends. Our enhanced service in Vietnam is part of our journey to build a more flexible, efficient, and intelligent network and deliver an outstanding customer experience.”
The economic and trade relations between China and Vietnam hold significant importance for the growth of Southeast Asia. According to statistics from China’s GAC, the total import and export value between the two markets reached RMB 1.14 trillion for the past three quarters this year, accounting for 24.38%[5] of China’s overall trade with ASEAN. Vietnam remains China’s largest trading partner among ASEAN member countries.
“This route effectively utilizes the FedEx Asia Pacific Hub in Guangzhou to enhance transit efficiency between Vietnam and the other markets of Asia and Europe, further strengthening connectivity between customers in these regions, and giving them better access to global market with more nimble supply chains,” said Eddy Chan, senior vice president of FedEx Express and president of FedEx China. “Under the RCEP and optimized trade and business environment between China and ASEAN countries, intra-regional and international trade has flourished. The introduction of the new route will further drive exchange between China and Vietnam, supporting RCEP, as well as economic integration across Asian and European markets for a more dynamic global trade environment.”
FedEx continues to invest in infrastructure and an extensive network to provide customers with a diverse product portfolio and efficient, agile delivery services. In the era of global economic recovery, FedEx is committed to mobilizing its advanced network and expertise to contribute to global trade.
* Transit times may vary depending on specific origin and destination postal codes.
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About FedEx Express
FedEx Express is one of the world’s largest express transportation companies, providing fast and reliable delivery to more than 220 countries and territories. FedEx Express uses a global air-and-ground network to speed delivery of time-sensitive shipments, by a definite time and date.
[1] Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), Regional Comprehensive Economic Partnership (RCEP)
[2] http://www.customs.gov.cn/customs/302249/zfxxgk/2799825/302274/302277/302276/5435752/index.html
[3] https://www.fmprc.gov.cn/fyrbt_673021/jzhsl_673025/202309/t20230914_11142916.shtml
[4] Asian Development Bank, Outlook July 2023.
[5] http://www.customs.gov.cn/customs/302249/zfxxgk/2799825/302274/302277/302276/5435752/index.html