Transport companies say they are losing millions of dollars due to falling demand caused by novel coronavirus fears. (Photo: VNA)HCM City (VNS/VNA) – Domestic transportcompanies have been hit hard by the novel coronavirus disease (COVID-19).
Duong Tri Thanh, general director of national flag carrierVietnam Airlines, said the epidemic has significantly reduced demand on bothdomestic and international routes.
China routes account for 10 percent of Vietnam Airlines’market, he said, referring to the cancellation of all flights to that country.
“If the disease continues until July, the company will lose 196million USD. So Vietnam Airlines is forced to find ways to reduce costs andmaximise efficiency.”
After authorities advised the public not to gather in publicto avoid the risk of COVID-19 infection, trains and buses have complained abouta sharp drop in the number of passengers.
Phung Thi Ly Ha, a spokesperson for the Hanoi RailwayTransport Joint Stock Company, said six trains have stopped running to reducelosses.
The continued closure of schools, universities and collegeshas seen many people who went home for Tet (the Lunar New Year) cancel their returntickets. The Hanoi and Sai Gon railway companies are worried about losses inthe vicinity of 43 billion VND (1.8 million USD).
Many tours and festivals have been cancelled, leading to a 70percent reduction in the number of passengers travelling by road, said Do Van Bang,General Director of Sao Viet Transport Company.
If the epidemic continues uncontrolled, his company wouldconsider cutting services and staff, he said.
Phan Tuan Linh, General Director of Quy Nhon Seaport JSC,said sea transport is no exception, and the losses in less than a month havetopped millions of dollars as shipping companies have curtailed their Chinaoperations.
Normally, his company has 12-13 ships going to China everymonth to pick up and supply goods, but since the outbreak only seven areplying, he said.
The volume of goods has also dropped dramatically to a mere30 percent of that of the comparable period last year, according to the T.SLine Sea Transport Company.
Before the epidemic breakout, the Quy Nhon Seaport remainedopen all 30 days in a month, but now opens for only 20 days.
In January, the cargo volume handled by the port was 100,000tonnes, 10-15 percent below target, Linh said./.
VNA
