Vietnam is undertaking a significant £720 million investment to build and upgrade airports across the country, with the aim of bolstering tourism and supporting supply chains.
This ambitious plan, unveiled in June, seeks to expand the number of airports to 30 by 2030, up from the current 23. The investment underscores Vietnam’s determination to accommodate the expanding middle class and burgeoning manufacturing sector, despite environmental concerns.
Operational challenges plague overloaded airports like Tan Son Nhat in Ho Chi Minh City, where passengers often endure long queues and flight delays. Recognizing the need for infrastructural upgrades, the government plans to add a third terminal to Tan Son Nhat and develop a new airport, Long Thanh, in the vicinity of Ho Chi Minh City.
However, the airport expansion plan has sparked concerns about its environmental impact, particularly regarding carbon emissions. Vietnam has committed to achieving net zero emissions by 2050, raising questions about the sustainability of increased air travel. Critics point out that air transportation emits significantly more carbon compared to other modes of travel, such as trains or buses. Short-haul flights, which are prevalent in Vietnam, are particularly inefficient in terms of emissions.
Despite these challenges, businesses view Vietnam’s aviation sector as a promising investment opportunity. French companies, including France Aviation Civile Services and JCDecaux, are exploring partnerships and investments in the country’s aviation infrastructure. These companies see long-term potential in Vietnam’s rapidly growing aviation industry, despite environmental concerns and operational challenges.
Vietnam’s ambitious investment in airport infrastructure reflects its commitment to fostering tourism and supporting supply chains. However, the country must address environmental concerns and operational challenges to ensure the sustainability and effectiveness of its aviation expansion plan.