After announcing that Vietnam would act as a manufacturing base for much of Samsung’s products, the South Korean electronics giant has asked authorities at Hanoi’s Noi Bai airport for a dedicated terminal to streamline the import and export process, reports Tuoi Tre.
In a document sent to state agencies last week, Samsung made its case by pointing out that it already accounted for 35% of inbound and outbound goods shipped from the airport in 2013, a figure that is expected to rise to 50% “in the near future.”
The company has also sent a written request to the Civil Aviation Administration of Vietnam, Vietnam Airlines and relevant agencies in the hopes that an currently under-construction cargo terminal at the airport will include a dedicated area for the export and import of Samsung-produced goods.
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It may seem like a big request but the numbers seem to back up Samsung’s argument:
“In 2013, Samsung imported and exported about 80,000 tons of goods by air, accounting for 35-40 percent of the total volume of imported and exported goods via the international airport. That number is forecast to rise 62.5-87.5 percent to 130,000-150,000 tons in 2014, and to grow about 20-30 percent annually in the next five years,” wrote Tuoi Tre.
With rising labor costs in its traditional manufacturing bases such as China, Samsung began to shift its operations to Vietnam in 2008 and contributed $23.9 billion to export revenues for Vietnam in 2013.
In July, the company announced that it would be further investing in their Vietnamese operations and expects to produce nearly all of its products in the country within a few years.
Given the Samsung's increased investment and production in Vietnam, it doesn’t seem unreasonable that they have a dedicated terminal. The only question is: who’s going to foot the bill?
[Photo via Samsung Galaxy S7]
