Airline News
Vietjet in discussions with Boeing
July 13th 2015
Vietnam’s only private airline, Ho Chi Minh-based VietJet Air, signed a Memorandum of Collaboration with Boeing last week, promising to study potential purchases from the U.S. manufacturer. If realized, a VietJet order would be a coup for Boeing, given the Vietnamese budget carrier has so far been a loyal Airbus customer, with up to 100 A320-family aircraft worth approximately $9.8 billion at current list prices, on order. Read More » “We look forward to providing VietJet with the very best airplanes in the world such as the 737 MAX and growing this relationship for many years to come,” said Dinesh Keskar, senior vice president Asia-Pacific and India Sales, Boeing Commercial Airplanes. VietJet agreed to the Boeing memorandum on the same day it signed a $56 million A320 parts supply deal with Honeywell Aerospace, solidifying its commitment to the Airbus orders.
VietJet has said it was considering expansion into the long-haul business with the focus on cities with large Vietnamese populations, but later revised its strategy and said this was not likely to happen for at least three years. As such, it could potentially be evaluating the B787, given the Dreamliner could offer non-stop service from Vietnam to the U.S. West Coast, one of VietJet’s target markets.
Earlier last week, Boeing also signed a Memorandum of Collaboration with Vietnam Airlines, which pledged to assist the flag carrier with its fleet renewal and expansion program and “offering” it the option to acquire eight more B787-10s and eight B777-8Xs. Hanoi-based Vietnam Airlines will shortly take delivery of its first B787-9 as part of a fleet renewal programme that should see all of its existing ten A330-200s and eight B777-200ERs replaced with B787-9s and A350-900s by the end of 2018. Eight larger B787-10s, on long-term lease from Air Lease Corporation, are scheduled to arrive between 2019 and 2021. "We give priority to the widebody aircraft made by Boeing," Pham Ngoc Minh, president and chief executive of the Vietnam Airlines, commented.
The Airbus Group is considering opening component and maintenance facilities in Vietnam, according to chief, Thomas Enders, after he met with prime minister, Nguyen Tan Dung, during a visit to Hanoi. “Among the issues discussed were ways in which the Airbus Group can develop its industrial partnerships in the country,” said Airbus spokesman, Sean Lee, who added “the discussions covered activities related to all the divisions of Airbus Group, including civil aircraft, helicopters, defence and space”.
The Vietnamese government last week approved a new $18 billion airport 25 kilometres outside HCMC, which will be opened in 2023. With a projected capacity of 100 million passengers, the new Long Thanh International facility will replace incumbent Tan Son Nhat International airport, which will soon reach its 25 million passengers a year capacity.
