Industry Readies for Direct flights to Vietnam

Ellis, Kristi
October 2003
WWD: Women's Wear Daily;10/21/2003, Vol. 186 Issue 83, p15
Trade Publication
An agreement between the United States and Vietnam to allow direct passenger and cargo flights between the two countries for the first time since the end of the Vietnam War will be to the advantage of retailers and importers. Retailers, importers and apparel manufacturers have shifted a significant amount of production to Vietnam since the U.S. signed a bilateral trade pact with the country in 2001. Through the agreement, U.S. retailers and importers will be able to minimize the time that their goods spend in transit. Conversely, it is also a benefit for U.S. exports to Vietnam. A number of apparel categories from Vietnam have already met their quota limits for 2003 and the U.S. has placed embargoes on them. To deal with the likelihood of more embargoes, executives may turn to air cargo, which costs more than ocean freight, to transfer their existing inventory out of Vietnam.


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