Tag: Vietnam

  • Textiles firms launch emergency production of antibacterial masks

    Textiles firms launch emergency production of antibacterial masks

    Textiles businesses, including several with no prior experience, have begun producing antibacterial masks after authorities announced a daily need of 10 million.

    At the beginning of last week, Toan, an employee of the Dong Xuan Knitting Company in the northern province of Hung Yen, was transferred to an antibacterial cloth production line. His company had begun making this new product following the novel coronavirus (2019-nCoV) outbreak.

    Toan and her colleagues now try to use their afternoon break to produce more masks in order to meet the amount needed each day as well as earn some overtime income.

    “Most of us are doing an extra half-shift of overtime every day. Because we make more money, everyone is happy and trying to take advantage of the situation,” he said.

    The Dong Xuan company has set up a similar antibacterial cloth production line in one of its factories in Hanoi. Its director Tran Viet said although the company has not worked in medical supplies before, it was applying Japanese technology to produce antibacterial fabric given the current scarcity of masks.

    Viet estimated that the company now produces 7-8 tons of anti-bacterial fabric every day, enough for Dong Xuan and its partners to produce up to 300,000 masks each day.

    “We are working every hour to improve productivity, so after it stabilizes, we will see if we can serve orders in other epidemic affected areas if needed,” Viet said.

    Le Tien Luong, general director of The Vietnam National Textile and Garment Group (Vinatex), one of the largest textile makers in Vietnam, said the company needed about three to four days to rearrange production lines, train workers in new technology, as well as transfer designs from affiliate companies to make masks, which was a new product to the group.

    TNG, a company based in northern Thai Nguyen Province specializing in producing garments and fashion for export, has also joined the emergency production of masks, using nano- fabric.

    The company was able to kick off production of antibacterial nano masks just three days after it submitted designs and standards for approval from the Ministry of Health, said TNG chairman Nguyen Van Hoi. Currently, the enterprise has increased working hours and allocated as many workers as possible to ensure it rolls out 20,000 masks a day. TNG said it will also work with the Thai Nguyen Department of Health to give out one million free masks to people.”Raw materials used to produce clothes and production lines are now prioritized for making masks. Soon 2 million masks will be completed and released to the market to help ease shortages, and soon after, TNG will be able to mass produce them,” Hoi said.

    Bui The Kich, general director of the Dong Nai Garment Corporation, said his enterprise has also been producing anti-bacterial fabric at maximum capacity. The company now produces around 10-15 tons of the fabric every day, and one kilogram of it is used to make approximately 300 disposable antibacterial masks.

    Truong Thanh Hoai, head of the Department of Industry under the Ministry of Industry and Trade, said producing 10 million antibacterial masks every day, as requested by the Ministry of Health’s request, required 400 tons of antibacterial fabric and enterprises working at full capacity.

    However, he pointed out that the Health Ministry has not issued standards and regulations for the antibacterial cloth masks. It needs to do so as soon as possible so that “users can trust the products,” Hoai said.

    Vietnam officially declared the nCoV outbreak an epidemic on February 1. Out of the 14 confirmed infection cases so far, three have been discharged from hospitals: a Nha Trang hotel receptionist, a Chinese man from Wuhan, and one of the workers who returned from Wuhan.

    The global death toll of the epidemic has reached 910– one each in the Philippines and Hong Kong, and the remaining in mainland China.

  • Vietjet opens three more direct routes connecting Vietnam with India, boosting the regional connection further

    Vietjet opens three more direct routes connecting Vietnam with India, boosting the regional connection further

    To meet rising demand for air travel between Vietnam and India as well as across the region, Vietjet has announced three new direct routes connecting Vietnam’s three largest hubs, Da Nang, Hanoi and Ho Chi Minh City, with two of India’s largest economic, political and cultural centres, New Delhi and Mumbai.

    The Da Nang – New Delhi and Hanoi – Mumbai routes will commence operations starting from 14 May 2020 with a frequency of five flights per week and three flights per week respectively. The Ho Chi Minh City – Mumbai route will operate four weekly flights starting from 15 May 2020.

    “We are excited to continue connecting Vietnam destinations to the market of over 1.2 billion population in India after receiving positive feedback regarding our previous two direct flights that linked both Ho Chi Minh City and Hanoi with New Delhi,” said Vietjet Vice President Nguyen Thanh Son.

    “With just over five hours of flight time per leg, and a convenient flight schedule throughout the week, Vietjet’s newest routes between Vietnam and India will create many more trade and tourism opportunities between the two countries, helping to boost the economies of both. The expansion of Vietjet’s flight network into India also reaffirms the airline’s ongoing commitment to continuously help flyers in saving cost and time. Passengers can enjoy flying on our new and modern aircraft, and taking transit flights to famous destinations across Southeast Asia, including Malaysia, Indonesia, Singapore, Thailand and many other countries, thanks to Vietjet’s extensive flight network in the Asia Pacific region,” he added.

    Located in Central Vietnam, Da Nang not only possesses beautiful beaches but also world-famous tourist attractions, such as the Golden Bridge, Ba Na Hills, Dragon Bridge, and much more. The city also serves as a gateway to many of the country’s most famous heritage sites, including the ancient town of Hoi An, the former imperial citadel in Hue city, the world’s biggest cave Son Doong and many other fascinating destinations. Meanwhile, Hanoi and Ho Chi Minh City are Vietnam’s two largest political, financial, economic and cultural hubs, offering tourists a heady mix of historical sites, cultural activities, incredible shopping options, cosmopolitan dining as well as amazing street food.

    In recent years, India has emerged into one of Asia’s most exciting and attractive destinations thanks to its diverse cultural, religious, culinary and tourist attractions. Besides the incredible capital of New Delhi, Mumbai, once known as Bombay, serves as one of India’s most important financial and economic centres and is an extremely enchanting destination in its own right. India is also well-known as an ancient and captivating land with many treasures of cultural heritage, colorful festivals and historic religious sites.

    With the addition of the three new routes, Vietjet will become the operator with the most direct routes between the two countries, offering five direct routes from and to India. The airline currently operates the HCMC/Hanoi – New Delhi services at a frequency of four weekly flights and three weekly flights, respectively.

    As the people’s airline of choice, Vietjet always keeps up to date with the latest travel trends to introduce new flying opportunities to more and more people at reasonable prices. The new-age carrier has also implemented a program called “Protect the planet – Fly with Vietjet”, which involves a series of meaningful activities, such as “Let’s clean up the ocean”, “Take action against plastic waste”, and many more initiatives, to help create a green planet for all of humanity and protect the environment for future generations.

    Flight schedule of new flights between Vietnam and India:

    Flight Flight code Frequency Departure
    (Local time)
    Arrival

    (Local time)

    Da Nang – New Delhi VJ831 5 flights/week

    Mon, Wed, Thu, Fri, Sun

    18:15 21:30
    New Delhi – Da Nang VJ830 5 flights/week

    Mon, Wed, Thu, Fri, Sun

    22:50 5:20
    Hanoi – Mumbai VJ907 3 flights/week

    Tue, Thu, Sat

    20:20 23:30
    Mumbai – Hanoi VJ910 3 flights/week

    Wed, Fri, Sun

    00:35 6:55
    HCMC – Mumbai VJ883 4 flights/week

    Mon, Wed, Fri, Sun

    19:55 23:30
    Mumbai – HCMC VJ884 4 flights/week

    Mon, Tue, Thu, Sat

    00:35 7:25
  • Fruit containers stuck as China border gate closes

    Fruit containers stuck as China border gate closes

    Over 200 container trucks full of fruit stand idle near a northern border gate as the new coronavirus outbreak halts cross-border trade.

  • Viettel soars in global valuable brand ranking

    Viettel soars in global valuable brand ranking

    Vietnam’s largest telecommunication service provider Viettel has climbed 126 positions to be ranked 355th most valuable brand in the world in 2020.

    Currently valued at VND134.9 trillion ($5.8 billion), up 34 percent compared to 2019, Viettel was placed 102nd in Asia, and 7th in Southeast Asia, according to Brand Finance, a London-based branded business valuation consultancy.

    The company saw its consolidated revenues increase by 7.4 percent in 2019 over 2018, and it currently occupies 53 percent of Vietnam’s mobile network market.

    Viettel successfully operated 5G phone calls on self-developed equipment on January 17, and is expected to commercially launch 5G services this June. It plans to expand its operations both within Vietnam as well as in 10 foreign markets.

    There are just 36 telecom companies in the 2020 listing of the world’s top 500 brands by value. Most of the  36 branks saw their values fall. Over the past five years, the combined value of all telecom brands in the Brand Finance Global 500 listing has fallen slightly, reaching $558.4 billion in 2020, compared to $567.7 billion in 2015.

    The Brand Finance Global 500 list covers 10 sectors in 29 markets, using a sample size of 50,000 adults over 18 years old. For the latest ranking, surveys were conducted online from September to December 2019.

  • Leading tour operator reports losses

    Leading tour operator reports losses

    Vietravel reported a VND14.1 billion ($606,000) loss in the last quarter of 2019 largely due to rising financing costs.

    Its profit margin slipped in the final quarter, with sales rising by 9.13 percent to VND1.45 trillion ($62.33 million) but cost of goods sold increasing by 10.48 percent to VND1.35 trillion ($58.03 million), according to the company’s latest consolidated financial statement.

    Vietravel’s revenues mainly came from selling tours, goods and tickets on flights it chartered. Q4 financial expenses topped VND26.66 billion ($1.15 million) after ballooning seven-fold year-on-year as the company obtained over VND160 billion ($6.89 million) in short-term loans from various banks.

    Vietravel merely said the loans were to supplement operating capital without elaborating.

    The loss came after three profitable quarters, and in the same quarter of 2018 the company had made a post-tax profit of VND7.3 billion ($313,800).

    Consolidated revenues for full-year 2019 came to VND7.26 trillion ($312 million), up 0.28 percent year-on-year, while post-tax profits fell 32 percent to VND39.93 billion ($1.72 million).

    It applied for a license for setting up an airline last year, and said it plans to launch its first flight late this year using either the narrow-body Airbus A321neo or Boeing 737.

    In the last two years it operated around 300 charter flights a year, both domestically and internationally.

    If licensed, Vietravel Airlines will enter a fiercely competitive aviation market which already has six players: Vietnam Airlines, Vietjet, Jetstar Pacific, Vietnam Air Services Company (VASCO), Bamboo Airways, and newly-licensed military-run carrier Vietstar Airlines, the last two making their debut last year.

    Analysts have forecast 2020 to be a difficult year for tourism companies with the outbreak of the new deadly nCoV pneumonia virus, which has caused Vietnamese airlines to suspend most flights to China.

    The arrival of Chinese tourists, who accounted for 32 percent of all visitors to Vietnam last year, is also expected to fall sharply.

  • Vietnam’s Pharmacity eyes 1000 stores by end of 2021

    Vietnam’s Pharmacity eyes 1000 stores by end of 2021

    Vietnam’s largest pharmacy retailer Pharmacity has raised VND730 billion (US$31.8 million) in a fresh funding round as it ramps up its expansion plans.

    According to a statement, the new funding will be used for further store network expansion. However, the identity of the investors was not revealed.

    Pharmacity, which previously has received backing from Mekong Capital, aims to open 350 new stores this year and reach 1000 stores by the end of next year.

    The company is targeting more than VND3 trillion (US$130 million) in revenue.

    Last year, Pharmacity achieved revenue growth of 129 percent year on year, it said in a statement.

    Prior to the latest funding round, Pharmacity had successfully raised VND150 billion (US$6.44 million).

  • Vietnam Airlines, Jetstar Pacific cut China flights

    Vietnam Airlines, Jetstar Pacific cut China flights

    Vietnam Airlines and Jetstar Pacific will stop flights on some routes to China and reduce them on others amidst the ongoing coronavirus outbreak.

    National flag carrier Vietnam Airlines will suspend routes between Vietnamese localities and China’s Beijing, Shanghai, Guangzhou and Shenzhen cities starting February 4. It will stop flying to and from China’s Chengdu starting February 5, and Macau starting February 6.

    The airline will also suspend flights on the Hanoi-Hong Kong route from February 6 and reduce the number of flights between Ho Chi Minh City and Hong Kong from 10 to 7 per week starting the same day.

    It will disinfect all aircraft upon returning to Vietnam from China to prevent the spread of 2019-nCoV, which originated in Wuhan City of Hubei Province in mainland China.

    Jetstar Pacific, the budget carrier of Vietnam Airlines, will stop operating flights on the Hanoi-Hong Kong route starting February 6, Hanoi-Guangzhou starting February 9 and HCMC- Guangzhou starting February 11.

    Passengers who wish to fly between the mentioned destinations before the suspension can change dates free of charge or ask for a refund from both airlines.

    Budget carrier Vietjet had earlier announced that it will suspend all China flights starting Saturday.

    Over 30 airlines in the world have suspended all or certain flights to China in the wake of nCoV, which as of Saturday had killed 259 people in the country.

    As of Friday, Vietnam had quarantined 97 people, of whom 32 remain isolated pending test results, according to the Ministry of Health.

    As of Saturday morning, the country has recorded six confirmed cases of infection: two Chinese nationals, and four Vietnamese, including three returning from Wuhan, and a female hotel receptionist who has caught the coronavirus infection from the two Chinese nationals presently quarantined in Saigon.

  • Vietnam inflation climbs to 7-year peak in January

    Vietnam inflation climbs to 7-year peak in January

    The consumer price index (CPI) in January jumped 6.43 percent year-on-year, the biggest increase seen in 7 years.

    It also rose 1.23 percent over last December, with the high increase this year attributed to the surge in eating out, shopping and travel demands of people during Tet or the Lunar New Year, Vietnam’s biggest national holiday.

    The General Statistics Office (GSO) said that in the CPI basket, 10 major groups of consumer goods and services saw their price indices rise in January, led by food and catering services with a 2.29 percent increase.

    It was followed by housing and construction materials costs, up 1.47 percent; transportation, 0.69 percent; beverages and tobacco 0.65 percent; and garments and footwear, 0.33 percent. Meanwhile, post and telecommunications decreased slightly by 0.03 percent.

    The government has targeted keeping CPI below 4 percent in 2020 this year, the same as the last three years, but GSO head Nguyen Bich Lam has warned that this may be difficult to achieve, given impacts of the African swine fever epidemic, which wiped out 6 million pigs last year, forecast to remain a major challenge.

  • Vietjet Commences First Ever Direct ServiceLinking Hanoi and Bali

    Vietjet Commences First Ever Direct ServiceLinking Hanoi and Bali

    In celebration of Lunar New Year 2020, new-age carrier Vietjetofficially commences its newest direct route linking Hanoi and Bali, Indonesia on the second day of Lunar New Year. This is Vietjet’s second service to the popular holiday destination, following the Ho Chi Minh City – Bali route that has been in operation from May 2019. It is also the first direct route departing from Vietnam’s capital city to Bali.

    Speaking at the opening ceremony, Chairwoman of Vietjet’s Board of Directors Nguyen Thanh Ha said, “Vietjet was founded with a pioneering mission to connect the skies. We are proud to be the first airline to operate direct flights between Hanoi and Bali. The new route, operated from the second day of the Lunar New Year, will meet the New Year’s travel demand of the locals and international travelers with less travel time and cost. Not only connecting the two most attractive cultural tourism destinations in Asia, the Hanoi – Bali route will also further promote cooperation between the countries in ASEAN.”

    The Hanoi – Bali route operates daily return flights from 26 January 2020. The flight departs from Hanoi at 10.00 am and arrives in Bali at 4.25 pm. The return flight takes off from Bali at 5.30 pm and lands in Hanoi at 9.55 pm. All are in local times.

    As Vietnam’s capital city, Hanoi offers an unforgettable vacation with its rich history. Founded more than one thousand years ago, tourists will be astonished by Hanoi’s architecture and colonial facades. Bali, one the most popular island destinations in Indonesia and all of Asia, is often called “The Island of the Gods” and often described as a tropical paradise. Voted as one of the best islands in the world, Bali is a destination of pristine, beautiful landscapes and unique cultural charms.

  • Airlines to refund Vietnam-China flight tickets

    Airlines to refund Vietnam-China flight tickets

    Vietnamese airlines have offered to refund customers who want to cancel their flights to and from China amid the coronavirus outbreak.

    Flag carrier Vietnam Airlines and low-cost arm Jetstar Pacific stated Friday both would refund tickets and allow free schedule changes for passengers flying to and from Chinese cities starting Friday until further notice.

    The two airlines do not currently operate direct flights to Wuhan City in central China, the epicenter of the new deadly pneumonia virus outbreak.

    Both would provide masks and gloves to passengers on its flights to and from China if requested.

    Civil Aviation Authority of Vietnam (CAAV) Thursday ordered all flight permits be canceled and the granting of new permits to all flights connected to Wuhan by both Vietnamese and foreign airlines be suspended.

    The Ministry of Health has ordered all tourists from China entering Vietnam complete health declaration forms as it combats the spread of the new coronavirus.

    Two Chinese nationals have been quarantined at Cho Ray Hospital in Ho Chi Minh City since Thursday after testing positive for the pneumonia virus.

    China on Saturday said 41 people had died and 1,300 been infected globally due to the virus.

    World Health Organization (WHO) declared the new coronavirus an “emergency in China” this week but stopped short of branding it an international concern.

    Most fatalities have involved elderly patients, many with pre-existing conditions, WHO confirmed.

  • Techcombank posts double digit growth in profits

    Techcombank posts double digit growth in profits

    Techcombank has reported a 20 percent year-on-year surge in 2019 consolidated pretax profits to more than VND12.8 trillion ($552.8 million).

    The nation’s largest private lender by assets said in its latest financial report that the profit increased as credit risk provision halved to VND917 billion ($39.6 million) last year.

    While the bank’s credit activities continued to develop, its takings from other services remained the same as in 2018 at approximately VND3.25 trillion ($140.5 million).

    The bank saw a 15 percent increase in total revenues to around VND21 trillion ($909.9 million). By the end of 2019, Techcombank’s total assets were worth VND383.7 trillion ($16.5 billion), up 20 percent year-on-year.

    The bank’s bad debt ratio decreased from 1.75 percent at the beginning of the year to 1.3 percent.

  • Masan chairman opens up on Vincommerce merger

    Masan chairman opens up on Vincommerce merger

    Masan’s acquisition of a majority stake in Vingroup’s minimart chain was a “big step” to break into consumer retail, the group’s chairman says.

    The food conglomerate chose Vincommerce as an acquisition target because it had the largest retail platform by a number of points of sale and accounted for 25 percent of the modern retail market, Nguyen Dang Quang, Masan Chairman, told shareholders in a report Thursday.

    Vincommerce’s network of 2,600 VinMart supermarkets and VinMart+ convenience stores nationwide is also well placed to bring added value to MEAT Deli, Masan’s clean meat brand, he said.

    “Although not everyone agreed with the merger deal, with many saying that retail is a completely different playing field, for us it all starts with putting consumers first, and this is our strength.”

    Quang said new shopping experiences and the ability to serve customers anytime, anywhere was a basic consumer need now. So combining Vincommerce’s modern network and Masan’s 300,000 traditional points of sale across the country will help build a modern and seamless retail system to serve consumers, he added.

    Thursday was the first time the Masan chairman has opened up about the group’s merger deal with Vietnam’s biggest private conglomerate Vingroup last December, which saw it acquire an 83.74 percent stake in Vincommerce.

    Masan will set up a new entity that holds the majority stake in Vincommerce, and an 85.7 percent stake in Masan Consumer, Masan’s subsidiary which produces consumer goods. Masan will hold 70 percent of this entity, while Vingroup and other investors that previously held stakes in Vincommerce but transferred them to Masan, will own the remaining 30 percent.

    Masan Group plans to have the new entity break even on an EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) basis in 2020, but said it could close between 150-300 stores that are unable to break even or fail to meet traffic targets.

    MSN shares of Masan Group on the Ho Chi Minh Stock Exchange had plummeted to floor price upon news of the merger deal on December 3, and the stock had lost 22.6 percent at the time of writing.

    Several securities companies have said that although the merger deal is considered mutually beneficial to both parties in the long-run, investors are worried Masan’s short-term profitability will take a hit, as Vingroup’s retail business segment, mostly made up of Vinmart stores, has recorded losses for five consecutive years from 2014.

    The latest financial reports showed that the segment has gone on to lose VND2.52 trillion ($108.76 million) for Vingroup in the first six months of 2019.

    In a letter to Vincommerce employees in December, Vingroup had also said it will not hold a majority stake in the merged entity to focus resources on technology and industry.

  • ATMs stutter during busy Lunar New Year lead-up

    ATMs stutter during busy Lunar New Year lead-up

    Many people in Hanoi and Saigon were unable to withdraw cash from ATMs while online bank transfers also took longer than usual during the weekend.

    Three ATMs belonging to a bank on Hanoi’s Pham Ngoc Thach Street stopped working several times in the past few days, including on early Saturday evening when all simultaneously flashed that services were “not available at the moment”.

    Nguyen Hoang, a customer who tried to withdraw money, said: “I came here because the ATM in Ha Dong District did not let me withdraw, but not only did the transaction fail but my card was also swallowed. I have urgent things that require cash but when I called the hotline, they said I had to wait until Monday to get my card back.”

    Two ATMs belonging to Vietcombank and BIDV in the area also failed to deliver cash, as did others belonging to VietinBank and PVCombank elsewhere in the capital.

    At around 5 p.m. on Saturday a long queue could be seen outside two ATMs in front of the Hanoi University of Science and Technology in Hai Ba Trung District.

    Lien, who had to queue for over 10 minutes to withdraw cash, said: “There are three BIDV ATMs next to each other on Ton That Tung Street, but two of them showed errors resulting in a large number of people queuing up. So I came here.”

    The ATMs have been frustrating customers in Ho Chi Minh City as well.

    Two ATMs on Le Duc Tho Road in Go Vap District saw dozens of customers entering and leaving the cubicles Sunday evening after being informed they had insufficient cash. Some of them said they had already tried four or five ATMs earlier.

    In an industrial zone in District 7, Minh Buu, a blue-collar worker, said many ATMs in the area reported errors when he tried to withdraw cash.

    “There are already very few ATMs in the suburb; now errors keep popping up, tiring us out.”

    The run-up to Lunar New Year is a peak time as demand for shopping and payments skyrocket, especially during weekends, causing even transfers through some banks’ online systems to become slow and error-prone.

    This month, especially during the past week, many Agribank customers have reported being unable to use the bank’s mobile application, which has been showing the “service not available at the moment” error.

    Some have also reported not receiving notifications about money being transferred to their account several days after transactions. The bank’s employees have claimed it was due to system maintenance.

    To meet the soaring demand, the State Bank of Vietnam (SBV) has instructed banks to make specific plans for ATM operations during the end of the year and the Lunar New Year holidays, and closely monitor their ATMs to ensure they operate normally.

    It also told them to take appropriate measures to reduce the load on ATMs in busy areas, warning they would be fined if an ATM is out of order for over 24 hours without customers and the local central bank branch being notified of it.

    But technical issues and local congestion could still occur during peak hours, especially in the case of banks that have yet to upgrade their ATM systems.

    According to the SBV, in addition to existing solutions to supply ATMs with enough cash, banks also need to promote cashless payment methods such as internet banking, mobile banking and paying through POS terminals and by scanning QR codes.

  • Banking systems experience intense Tet surge

    Banking systems experience intense Tet surge

    Banks, ATMs, and online banking systems have been overloaded towards the end of the Lunar New Year, forcing customers to wait long hours.

    Hoa went to a major bank on Hanoi’s Duy Tan Street early one recent afternoon to process the payment of a loan.

    She was happy to notice that her turn would come soon, based on the token number she received, but it took an hour for her to be called.

    The bank was full of faces weary from the long wait, which seemed 30 minutes on average. People found ways to occupy themselves, with some even taking out laptops to work while they waited. Others grew restive and frustrated and left early without bothering for their turn to come.

    A similar scene has been enacted for several days in many banks. On Tuesday (27th of the last lunar month),  the waiting room of a bank in Hanoi’s Dong Da district had around 50 customers waiting at around 3 p.m. Each and every counter was occupied, and the staff had barely any time to break.

    Long queues in front of banks have become a common sight these days. At a mall on the city’s Ba Trieu street, people were also lining up in front of ATMs. Some of the machines are broken, some were overloaded due to a large amount of transactions, and some ran out of cash.

    In highly frequented places, the number of customers seeking banking services kept increasing day after day, slowing down every operation.

    The situation was not much better with online banking systems, which have also been overloaded. Many users complained they could not access their apps, experienced system failure and encountered long delays in carrying out a transaction.