A tourism boom ahead

These days, waves of tourists are pouring into Ho Chi Minh City as the city is celebrating the 50th anniversary of the liberation of the South and the reunification of the country. Tour packages that combine exploration and entertainment are being enriched with cultural and artistic programmes, along with visits to meaningful historical landmarks, giving visitors the opportunity to deeply understand Vietnam’s unique culture and patriotic spirit.

Historical sites in the city, such as the Independence Palace and the War Remnants Museum, continued to welcome a high number of visitors during the holiday. At the Cu Chi Tunnels Historical Site, tourist numbers surged by 30–40% between April 29 and May 1 compared to the same period last year, with about 7,000 visitors per day. The Rung Sac Revolutionary Base in Can Gio was also packed. At the Independence Palace in District 1, people lined up for tickets early in the morning.

With the high influx of tourists during the five-day holiday period till May 4, the hospitality and services industries are currently operating at full capacity. Hotels like Majestic Saigon in District 1 were fully booked on April 29 and 30. Other central hotels near key cultural and artistic centres such as Grand Saigon and Kim Do Saigon also reported full occupancy.

Restaurants, shopping venues, and eateries likewise saw strong revenue increases. Notably, services renting traditional holiday-themed attire like red áo dài, khăn rằn scarves, bà ba shirts, and conical hats experienced a boom in demand.

Elsewhere, traditional holiday tourist destinations like Phu Quoc, Nha Trang, Da Nang, Quang Ninh, Quang Binh, Sa Pa, Ben Tre, and Can Tho also recorded strong increases in tourist arrivals, with average hotel occupancy rates ranging from 70% to over 80%.

Previously, the Vietnam National Authority of Tourism reported an impressive Q1 growth in tourism and related services. Revenue from accommodation, food, and travel services totaled VND189 trillion, up 15.3% compared to the same period last year. Of the total value, accommodation and food services were estimated at VND174.9 trillion, up 13.4%, and travel services at VND14.1 trillion, up 46.3%.

Meanwhile, international tourist arrivals to Vietnam nearly fully recovered and even rose 3.2% compared to Q1 of 2019 - the period before the COVID-19 pandemic.

According to the Authority, Vietnam’s key international tourism markets in 2025 such as Australia and the United States are expected to maintain strong growth. In addition, Russia and India are emerging as potential markets. If the conflict in Ukraine eases and US–Russia relations improve, the number of Russian tourists visiting Vietnam could rise significantly.

A dramatic comeback in aviation

Often likened to the wings of an airplane, the tourism surge has propelled the aviation industry into a period of strong growth. National flag carrier Vietnam Airlines reported a stellar Q1 performance with record-high revenue of nearly VND31.107 trillion and estimated consolidated pre-tax profit of about VND3.625 trillion. In 2024, Vietnam Airlines also recorded the highest after-tax profit in its history at VND7.958 trillion.

According to a Vietnam Airlines representative, these favourable results were driven by a strong market recovery. Data from the Civil Aviation Authority of Vietnam shows that in Q1 2025, the total air transport market served more than 20.7 million passengers, up 9.2% year on year. International arrivals by air reached about 11.7 million, up 13.3%, while domestic passengers exceeded 9 million, up 3.6%.

The country welcomed more than 6 million international tourists, an all-time record for Vietnam’s tourism industry. Notably, all international market regions recorded positive growth, with India leading at 26.6%, followed by the Middle East (25.8%), and Northeast Asia (13.6%) thanks to an impressive recovery in mainland China, Taiwan, and Hong Kong.

The quality of international tourists also improved significantly, especially in high-spending markets like Japan, Australia, and India. For example, high-spending visitors from Japan rebounded to nearly 90% of pre-pandemic levels, compared to 60% the previous year.

The market boom has enabled Vietnam Airlines to launch and resume several key routes. It also began operating the Boeing 787-9 featuring the Chim Lạc (Legendary Bird) symbol to promote Vietnam’s image to the world.

While the national carrier reported record profits, newcomer Vietravel Airlines also found a new path after post-COVID struggles. Although its current fleet consists of just one narrow-body aircraft on dry lease, a company representative said the plane is operating at full capacity, constantly flying dense charter schedules bringing international tour groups to Vietnam.

T&T Group has also worked out plans to build Vietravel Airlines into an aviation ecosystem under a conglomerate model, expanding into air transport services, ground services, maintenance, and aviation technology.

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