Release Date: 17 May 2007
Release ID: 454
TNT, one of the world’s largest express services providers, today announced the expansion of Asia’s pioneering integrated road network into Vietnam following a further € 6 million investment. Adding to an original investment of € 2 million, the enhancement brings the total investment to date to € 8 million. TNT plans to extend the Asia Road Network to reach China through the north-eastern border of Vietnam by the end of 2007. Once completed, the network in Southeast Asia will cover almost 60 per cent of the region and link over 120 cities across 4,000 km.
First introduced at the end of 2005, the first phase of TNT’s Asia Road Network linked Malaysia, Singapore and Thailand. With 24x7 real-time Global Positioning Satellite (GPS) tracking of TNT’s container trucks, the service resulted in double-digit growth in overall volumes within a year, particularly among customers with high-value goods such as electronic, automotive and computing components. The road service is two to three times faster than sea freight and offers customers significant savings of up to 30 per cent compared to air freight. As with all TNT services, the Asia Road Network offers customers a fully inclusive door-to-door, day-definite solution with complete track and trace capabilities.
'TNT’s expansion into the Greater Sub-Mekong area is logical given the rapid growth of the region, in particular Vietnam,' said Onno Boots, regional managing director of TNT Southeast Asia. 'TNT’s integrated air and road network will be a key differentiator. Already known as the leader in intra-European connectivity, we are now focusing on building extensive networks to strengthen Asia’s connectivity, both within the region and to Europe. We will also continue investing in the development of innovative solutions to complement the Asia Road Network and meet our customers’ business needs in the region.'
Committed to Asia
TNT’s expansion of its road network service into Vietnam is in line with the company’s strategic intent to expand its presence in Asia, particularly in key emerging markets. Recent moves include the acquisition of China’s Hoau, the purchase of India’s Speedage and the construction of a dedicated facility for life sciences in Singapore. This forms part of TNT’s overall objective to achieve a global revenue target growth of 10 to 15 per cent in 2007 in its express division.
First express provider to facilitate trade for EWEC.
With the expansion of its Asian road network into Vietnam, TNT becomes the first express provider to facilitate the movement of goods within the East-West Economic Corridor (EWEC) – Myanmar excepted – thereby accelerating trade growth for many of the secondary cities along the route.
Boosted by Vietnam’s WTO accession, foreign direct investment in the country rose by almost 40 per cent to reach US $10.2 billion in 2006. Vietnam is also expected to achieve an economic growth rate of 8 per cent in 2007-08.
© The Adora Group Limited 2017 - Publishers of Freightnet