{"id":5123,"date":"2021-09-28T09:02:17","date_gmt":"2021-09-28T09:02:17","guid":{"rendered":"https:\/\/indochinapost.com\/en\/?p=5123"},"modified":"2021-09-28T09:02:17","modified_gmt":"2021-09-28T09:02:17","slug":"the-status-of-logistics-in-vietnam-a-very-brief-appraisal","status":"publish","type":"post","link":"https:\/\/indochinapost.com\/en\/the-status-of-logistics-in-vietnam-a-very-brief-appraisal\/","title":{"rendered":"The Status of Logistics in Vietnam: A Very Brief Appraisal"},"content":{"rendered":"
If you are a new Vietnamese business operator looking for logistics services, a foreign company considering entering the Vietnamese market, or a multinational logistics enterprise looking to capitalize on the country’s economic growth, it is a good idea to understand the current state of play in the Vietnamese logistics sector.<\/div>\n
<\/div>\n
We decided to put together this quick overview of the logistics scene in Vietnam to assist you with your study. The goal is to provide you with some basic market knowledge to utilize as a jumping-off point for further study.<\/div>\n

\u00a0A Land of Logistics Opportunity<\/strong><\/h2>\n

As the logistics industry in Vietnam liberalizes, possibilities for new businesses to capitalize on rising domestic and international demand for locally produced or manufactured goods emerge. Simultaneously, the country’s export market is expanding, as is its industrial standing, particularly as a center for outsourced manufacturing.<\/p>\n

 <\/p>\n

If your company currently has any manufacturing outsourced to China and is starting to feel the impact of rising costs, you might consider Vietnam as an attractive alternative.<\/h3>\n

A rising number of firms are moving production from China to Vietnam, which may be good news for logistics operators as demand for warehouse and road transportation services rises in tandem with manufacturing development. The recent surge in e-commerce in Vietnam could provide possibilities, particularly for firms interested in last-mile delivery and value-added distribution services.<\/p>\n

The Outlook for Foreign and Domestic Firms<\/strong><\/h3>\n

With a highly undeveloped logistics infrastructure and current high transportation costs compared to neighboring countries, Vietnamese logistics initiatives can be difficult, but offer incredible potential for global logistics businesses willing to invest and innovate.<\/p>\n

 <\/p>\n

Now might be a good time to enter the Vietnamese market, as foreign penetration is not yet as advanced as in other developing Asia nations like Thailand.<\/h3>\n

Domestic logistics competition is tough, and for local businesses or startups looking to profit, it may be a smart idea to consider working with a foreign company to use proven skills as well as sophisticated intellectual and physical resources.<\/p>\n

Key Logistics Challenges in Vietnam<\/strong><\/h2>\n

Success with any business venture in Vietnam will depend upon the ability to surmount logistics challenges. Some of the most important obstacles to overcome are as follows:<\/p>\n

    \n
  • Customs procedures are inefficient and still largely involve slow, manual processes;<\/li>\n
  • Inconsistent cargo inspection processes at ports and airports;<\/li>\n
  • Congested highways linking industrial centers with the country\u2019s ports;<\/li>\n
  • Generally poor and unplanned transport infrastructure;<\/li>\n
  • Logistics costs are high, currently comprising around 20% of gross domestic product (GDP);<\/li>\n
  • Logistics facilities (warehouses and distribution centers) are often situated in remote locations, far from ports and centers of manufacture.<\/li>\n<\/ul>\n

     <\/p>\n

    If your company is foreign-based, and you are thinking about setting up a goods transport operation in Vietnam, you should be aware that any driver you employ must be a Vietnamese citizen.<\/h3>\n

    This may present some challenges in itself, as professional driver training in Vietnam is not yet up to the standards of more developed countries. If you do not want to expose your business to unnecessary risks, you should consider setting up your own driver-training program, based on Western standards of driver education.<\/p>\n

    Logistics Expertise in Vietnam<\/strong><\/h2>\n

    This brief summary of the Vietnamese logistics landscape should be helpful if you are planning to start a logistics operation or a company that will rely on 3PL services in Vietnam.<\/p>\n

     <\/p>\n\n\n

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    If you are a new Vietnamese business operator looking for logistics services, a foreign company considering entering the Vietnamese market, or a multinational logistics enterprise looking to capitalize on the country’s economic growth, it is a good idea to understand the current state of play in the Vietnamese logistics sector. We decided to put together […]\n","protected":false},"author":6,"featured_media":5124,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[402],"tags":[],"class_list":["post-5123","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"yoast_head":"\nThe Status of Logistics in Vietnam: A Very Brief Appraisal - The leading Logistics and Cargo in Asia<\/title>\n<meta name=\"description\" content=\"As the logistics industry in Vietnam liberalizes, possibilities for new businesses to capitalize on rising domestic and international...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/indochinapost.com\/en\/the-status-of-logistics-in-vietnam-a-very-brief-appraisal\/\" \/>\n<meta property=\"og:locale\" content=\"vi_VN\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Status of Logistics in Vietnam: A Very Brief Appraisal\" \/>\n<meta property=\"og:description\" content=\"As the logistics industry in Vietnam liberalizes, possibilities for new businesses to capitalize on rising domestic and international...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/indochinapost.com\/en\/the-status-of-logistics-in-vietnam-a-very-brief-appraisal\/\" \/>\n<meta property=\"og:site_name\" content=\"The leading Logistics and Cargo in Asia\" \/>\n<meta property=\"article:published_time\" content=\"2021-09-28T09:02:17+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/indochinapost.com\/en\/wp-content\/uploads\/28-4.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"960\" \/>\n\t<meta property=\"og:image:height\" content=\"480\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"H\u00f2a H\u00f2a\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"\u0110\u01b0\u1ee3c vi\u1ebft b\u1edfi\" \/>\n\t<meta name=\"twitter:data1\" content=\"H\u00f2a H\u00f2a\" \/>\n\t<meta name=\"twitter:label2\" content=\"\u01af\u1edbc t\u00ednh th\u1eddi gian \u0111\u1ecdc\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 ph\u00fat\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/indochinapost.com\/en\/the-status-of-logistics-in-vietnam-a-very-brief-appraisal\/\",\"url\":\"https:\/\/indochinapost.com\/en\/the-status-of-logistics-in-vietnam-a-very-brief-appraisal\/\",\"name\":\"The Status of Logistics in Vietnam: A Very Brief Appraisal - 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