Vietjet’s $12.7bn helps Boeing top $23 Bn

Vietnamese low-fare carrier VietJet has signed with Boeing for 100 B737 MAX aircraft in a US$12.7 billion deal that doubles its fleet size, while the manufacturer also confirmed deals valued at nearly $11 billion for a total of 93 more MAX 8 aircraft with four other customers.

VietJet’s Memorandum of Understanding was signed at the Farnborough Airshow, and includes 80 737 MAX 10s and 20 737 MAX 8s. The privately owned airline will become the largest MAX 10 customer in Asia once the deal is completed, with the company planning to leverage the added capacity of the MAX 10 to meet surging demand on high-density domestic routes, as well as on popular regional routes.

“These new airplanes will fit perfectly into our growth strategy, providing the efficiency and range for VietJet to expand its route network and offer more international destinations for our customers and expand alliances across Asia Pacific, the fastest growing aviation market in the world,” said Madam Nguy?n Th? Ph??ng Th?o, VietJet’s president and CEO.

Boeing will also partner with VietJet to enhance technical and engineering expertise and the training of pilots and technicians in Vietnam.

The airline was Vietnam’s first LCC and is bolstering its fleet to enable further expansion of its regional network. In 2016 it finalised an order for 100 MAX 8s in what was the largest-ever single commercial airplane purchase in Vietnam aviation history.

The agreement for the repeat order “validates the best-in-class capabilities of the 737 MAX family of airplanes,” said Kevin McAllister, president and CEO of Boeing Commercial Airplanes.

Boeing’s MAX 8 deals with the four other unidentified customers included one with a carrier for 40 of the high-capacity version of the aircraft. All four hail from the airline and leasing industries, said Boeing.

 

Written by: Mark Thomas

If you have any feedback about this article or would like to suggest a topic for future investigation, please contact us.

You may be interested in...


« Back to News