How to calculate road freight rates in Vietnam today

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Today, road transport is one of the most popular modes of transporting goods in Vietnam. However, not everyone knows how to calculate road freight rates in Vietnam today. This article will provide useful information to help you better understand road freight.

Why choose complex transport mode by road

Currently, in Vietnam, road transport accounts for about 70% of the total transportation demand. So what is the reason for road transport to become so popular and chosen? The answer will be due to the following advantages:

1. Flexible time

The difference and also the advantage of road transport compared to other modes of transport such as the sea, rail or air. It is you can completely rent a cargo truck at any time and require clear delivery and delivery time.

2. Diversified roadmap

In Vietnam today, the road transport system is increasingly being improved and upgraded, creating favorable conditions for the transport of inventory goods across the provinces. As for other modes of transport, you will often have to spend more time transferring goods to the station, train, dock.

3. Goods safety

To ensure the best quality when shipping by road. Goods will be divided into different groups such as frozen goods, import and export goods, oversized goods, etc. For each type of goods will be transported by different types of specialized vehicles.

4. Transport volume

The transport volume varies from a few hundred kgs to a few dozen tons. You can choose the form of joining goods or rent a car on the whole route depending on your needs.

Provisions on how to calculate freight rates

Any mode of transportation will have to comply with a general charge principle and based on two factors that are the volume of goods and the transport route.

Specifically as follows:

• The weight of freight is the weight of packaging in tons (T).
• Calculation distance is the actual distance of transport of goods in kilometer (km).
• The minimum charge distance is 1 km.

Calculation of road freight rates

In road transport, the two main drivers of freight rates are the volume of goods and the region of the shipment.

Each of these factors will have specific ways of calculating. For the volume of goods, the calculation of road freight rates is as follows:

• Option 1: calculate the actual weight for lightweight goods. With these goods, the shipping company will carry out the weighing of that cargo.

• Option 2 (applied to heavy, bulky goods): use the formula (length × width × height) × 3/10000.

After determining the volume of goods to be transported. The shipping unit will multiply the unit price of each region of delivery from the place of shipment to calculate the appropriate freight.

Table of road freight rates

A number of provisions on road freight calculation charges:

• Freight by road is stipulated as the maximum rate and includes value-added tax.
• This Decision on freight charges takes effect from January 1, 2001, and replaces Decision No. 36 / VGCP-CNTDDV of May 8, 1997, of the Government Pricing Committee. Decision No. 13/1999 / QD-BVGCP of March 26, 1999, of the Government Pricing Committee on amending and supplementing a number of points in Decision No. 36 / VGCP-CNTDDV of May 8, 1997, and guiding documents relevant lead.

Specifically, the current road freight table is as follows:

Above are the shares related to regulations and ways of calculating road freight rates in Vietnam today. LEC Group is now a provider of the full range of logistics services, especially trucking services. Please contact us today to receive the best support.

LEC GROUP

Head Office: Road 4, Phu My 1 Industrial Zone, Phu My Ward, Phu My Town, Ba Ria - Vung Tau, Vietnam.

Add: The Galleria Office Building, 59 Hanoi Highway, Thao Dien Ward, District 2, Ho Chi Minh City.

Hotline: (+84) 909 800 136 & (+84) 909 455 136.

Email: info@lecvietnam.com & thao.nguyen@lecvietnam.com

Website: https://lecvietnam.com/

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