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Forwarder EMO Trans sets up base in Vietnam to be closer to major clients
NEW YORK-based freight forwarder EMO Trans has opened a facility near Vietnam's Ho Chi Minh airport to be closer to its major clients who have set up shop in the Southeast Asian nation in search of lower labour costs.
The company's CEO Marco Rohrer pointed out to Air Cargo World that over the last few years technology companies have moved into the market that was traditionally a stronghold for apparel manufacturing.
"This [technology] is an area that we focus on," Mr Rohrer was quoted as saying. "We have several clients that ship from China that are setting up additional factories in Vietnam." He noted that Foxconn, which builds Apple's iPhone units, was one such factory that had established a major presence in the Hanoi area.
Vietnam's manufacturing sector has been boosted in recent years by major infrastructure investments. "In Ho Chi Minh City we've seen great improvements, especially in air freight," said Mr Rohrer.
EMO Trans currently has a staff of six in Vietnam, but plans to raise that number to ten in the coming months. According to Mr Rohrer, the company can keep its staffing numbers down because it outsources much of its warehousing, as well as other logistics.
"What's interesting with Vietnam is that we can cover the Cambodia market, which is just starting to emerge," Mr Rohrer added. "Labour costs are even lower there, and we are seeing great improvements in trucking services between the two countries."
The company's CEO Marco Rohrer pointed out to Air Cargo World that over the last few years technology companies have moved into the market that was traditionally a stronghold for apparel manufacturing.
"This [technology] is an area that we focus on," Mr Rohrer was quoted as saying. "We have several clients that ship from China that are setting up additional factories in Vietnam." He noted that Foxconn, which builds Apple's iPhone units, was one such factory that had established a major presence in the Hanoi area.
Vietnam's manufacturing sector has been boosted in recent years by major infrastructure investments. "In Ho Chi Minh City we've seen great improvements, especially in air freight," said Mr Rohrer.
EMO Trans currently has a staff of six in Vietnam, but plans to raise that number to ten in the coming months. According to Mr Rohrer, the company can keep its staffing numbers down because it outsources much of its warehousing, as well as other logistics.
"What's interesting with Vietnam is that we can cover the Cambodia market, which is just starting to emerge," Mr Rohrer added. "Labour costs are even lower there, and we are seeing great improvements in trucking services between the two countries."
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