Vietnam Airlines, Boeing signed MOU for 10-billion-USD deal for Boeing 737 Max jets

WVR/VNA - National flag carrier Vietnam Airlines plans to buy 50 narrow-body Boeing 737 Max aircraft in a deal worth 10 billion with the US group Boeing.
Vietnam Airlines, Boeing signed MOU for 10-billion-USD deal for Boeing 737 Max jets
Vietnam Airlines, Boeing signed MOU for 10-billion-USD deal for Boeing 737 Max jets: At the signing ceremony. (Photo: VNA)

On September 11, a Memorandum of Understanding for the deal was signed between the two sides , on the occasion of President Joe Biden’s State visit to Vietnam. It holds a special significance in the context that the two nations have elevated their relationship to a comprehensive strategic partnership.

Under the document, the two sides will closely collaborate to conduct research and assessment, and promptly report to relevant authorities for consideration, serving as a basis to advance the negotiations and complete investment procedures of Vietnam Airlines.

According to Dang Ngoc Hoa, Chairman of the Board of Directors of Vietnam Airlines, in its fleet expansion plan for the 2025-2030 period, with a vision to 2035, purchasing aircraft is crucial to ensure that the firm achieves its strategic goals and vision in the recovery and sustainable development phase.

The narrow-body aircraft investment project aims to serve Vietnam Airlines' development plan, improve the quality of its services on domestic and Asian routes, and modernise its fleet by using modern, comfortable, and fuel-efficient aircraft.

Brad McMullen, Senior Vice President Boeing Commercial Sales, said: “Southeast Asia is one of the world's fastest growing aviation markets, and the 737 MAX is the perfect airplane for Vietnam Airlines to efficiently meet that regional demand.”

Boeing highly values its historic partnership with Vietnam Airlines, dating back to 1995, when the airline first leased Boeing 767s, he added.

Vietnam Airlines said it needs to add about 60 new narrow-body aircraft by 2030 and 100 by 2035.

The Boeing 737 Max series boasts a seating capacity of up to 230 passengers and has a flight range of over 3,000 kilometres.

Vietnam Airlines' fleet consists of 100 aircraft, including 65 narrow-body aircraft, serving over 97 routes to 50 domestic and international destinations.

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(Source: WVR/VNA)