Opportunities and challenges are intertwined

With the role of connecting the world, supporting trade, and promoting socioeconomic development, the logistics industry is considered the lifeblood of the national economy.

Vietnam boasts the advantages of being located in the centre of the Asia-Pacific region and on the international maritime route, and having a long coastline with many favourable locations for the development of deepwater ports. Alongside a high economic growth rate and stable production, Vietnam is expected to soon become a logistics star of the region.

Over the past few years, Vietnam's logistics sector has developed significantly, with an average rate of 14-16 per cent per year or $40-42 billion. According to Tran Thanh Hai, deputy director of the Import and Export Department under the Ministry of Industry and Trade, imports and exports reached a record high of $732.5 billion in 2022, up 9.5 per cent from 2021, thanks in large part to the growth of enterprises and the calibre of logistical services.

Vietnam is currently placed 11th out of 50 growing global logistics markets.

According to many experts, despite the leap in development, Vietnam's logistics industry has yet to unlock its full potential. One of the biggest limitations is high service costs. The nation has yet to form an expansive network of large-scale logistics companies with the capacity to lead the market and promote its development.

Amidst increasing international integration, Vietnam has signed a wide range of free trade agreements. Alongside the strong growth of e-commerce, logistics companies are facing fierce competition from foreign competitors. Therefore, to maintain and strengthen their position, businesses need to continuously innovate and create new value to attract customers.

Turn competition into a driving force for development

Since its inception in early 2000, An Tin Inter-Transport JSC (An Tin Logistics), a subsidiary of An Phat Holdings Group, has been a well-known name in both the local and regional logistics markets. From its starting point as an in-house transportation unit for An Phat Holdings Group, An Tin Logistics has now become one of Vietnam's leading logistics enterprises.

Despite nearly 20 years in the industry, An Tin Logistics has been struggling to compete with other logistics giants operating in Vietnam. To address the problem, it has given priority to the digital transformation of its business operations to optimise internal administration and customer relationship management.

A presentative of An Tin Logistics said, "To change the traditional processes that are paper-intensive, inaccurate, and time-consuming, we have deployed business management software, which will be expanded into a user-friendly platform soon. Therefore, customers can easily access and track their goods."

In addition to promoting digitalisation, An Tin Logistics has gradually improved its service quality, providing comprehensive transportation solutions, including sea, road, rail, and air, as well as customs services and import and export documentation.

An Tin Logistics has a capacity of 10-12 million TEUs per year and close partnerships with reputable shipping lines such as Maersk, Yang Ming, Cosco Shipping, Evergreen, HMM, KMTC, and has a network of agents in more than 100 countries and major ports around the world.

It has also been quick to offer a door-to-door service. This is a comprehensive transportation and customs clearance offering, including warehouse, shipping, and receiving services. The solution boasts many advantages and is favoured by consumers and businesses around the world.

"With the door-to-door service, goods will not be broken, damaged, lost, or stolen, and are protected by our safe insurance. We also provide support services for looking up order information, so customers know the status of their goods and feel more secure during the transportation process," the presentative added.

Besides providing transportation solutions, An Tin Logistics has also channelled its resources to develop closed-loop logistics services. The warehouse system is located in Hai Duong province, which is a focal point for economic exchanges, trade, and the transit of goods in the northern key economic region.

"During our nearly 20 years of operation, we have always strived to bring the best and most tailored logistics solutions to each customer and partner. Our biggest goal is to expand An Tin Logistics's reach into the global market. This will demonstrate that the capabilities of Vietnamese logistics groups are on par with those of foreign businesses. Thus, Vietnam can truly become a bright star in the market," she added.

To tap into the potential of the industry, An Tin Logistics will continue to scale up its operations and connect more deeply with the international transportation market. The company will also establish representative offices across the world, especially in key areas such as the United States, China, and Europe.