26 C
Ho Chi Minh City
Thursday, November 26, 2020

CAAV proposes urgent support for aviation firms

Must read

Charity run to raise funds for charitable projects

HCMC – The British Chamber of Commerce Vietnam will organize a charity run at the British University Vietnam’s Ecopark campus in Hung Yen Province...

27 students rescued after losing way home from mountain picnic

HCMC – The local authorities have rescued 27 students who went missing during their picnic on Khau Mo Mountain in Huyen Tung Ward, Bac...

Vietnam likely to become super-aging country by 2050: deputy minister

HCMC – Vietnam entered an “aging phase” in 2011 and remains among the most rapidly aging countries in the world and, as such, might...

Three bridge projects along axis road connecting HCMC and Mekong Delta approved

HCMC – The People’s Council of the Mekong Delta province of Long An on November 18 gave its nod to the investment plans of...

HCMC – The Civil Aviation Administration of Vietnam (CAAV) has proposed that the Government provide urgent support for aviation firms, which have been badly affected by the coronavirus outbreak.

In a document sent to the Ministry of Transport, CAAV said the number of air passengers has dropped by 98-99% due to the pandemic. Vietnamese airlines have suspended most air routes, and are now operating only limited routes for passengers from Vietnam to other countries, cargo flights, and domestic routes between Hanoi, Danang and HCMC, while offering very few flights.

National flag carrier Vietnam Airlines is the hardest-hit aviation firm. The airline’s revenues in the first quarter of 2020 were estimated at more than VND19.2 trillion, down some VND6.7 trillion compared to the same period last year. The airline suffered a loss of nearly VND2.4 trillion.

The Airports Corporation of Vietnam’s revenues in the first quarter were estimated at over VND4 trillion, down VND832 billion year-on-year. Its profit reached nearly VND1.86 trillion, down VND586 billion compared to the same period last year.

CAAV suggested that the Government should support aviation firms through tax reductions and tax payment extensions. They should also be allowed to delay payment of aviation fees until December 31.

CAAV also proposed that the Government erase or cut 50% of import taxes and environmental protection taxes on aviation fuel, and reduce take-off and landing fees and flight operation charges by 50% for airlines until December 31.

According to Dinh Viet Thang, head of CAAV, more than 200 planes are being parked at airports nationwide. Each airline is currently operating only a few flights for several hundred passengers per day.

Thang said the Vietnamese aviation sector has never faced such difficult circumstances.

More articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisement -

Latest articles

Charity run to raise funds for charitable projects

HCMC – The British Chamber of Commerce Vietnam will organize a charity run at the British University Vietnam’s Ecopark campus in Hung Yen Province...

27 students rescued after losing way home from mountain picnic

HCMC – The local authorities have rescued 27 students who went missing during their picnic on Khau Mo Mountain in Huyen Tung Ward, Bac...

Vietnam likely to become super-aging country by 2050: deputy minister

HCMC – Vietnam entered an “aging phase” in 2011 and remains among the most rapidly aging countries in the world and, as such, might...

Three bridge projects along axis road connecting HCMC and Mekong Delta approved

HCMC – The People’s Council of the Mekong Delta province of Long An on November 18 gave its nod to the investment plans of...

Work begins on three components of North-South expressway project

HCMC – On November 19, the Ministry of Transport began work on three components worth over VND4 trillion of the Mai Son-National Highway 45...