Vietjet and Airbus Sign $7.4 Billion Deal for 20 A330neo Aircraft

Vietjet and Airbus have signed a contract for the purchase of 20 new-generation wide-body A330neo (A330-900) aircraft, worth $7.4 billion, at the Farnborough International Airshow 2024.

The contract signing ceremony, held in London on Monday, was witnessed by Vietjet's chairwoman Nguyễn Thị Phương Thảo and Airbus CEO of Commercial Aircraft Business, Christian Scherer.

Major Deal at Farnborough Airshow

This contract represents one of the largest deals at this year's airshow. The newly ordered aircraft will be deployed for Vietjet's expanding long-haul services and high-demand routes in the region.

These aircraft will replace Vietjet's current fleet of A330-300s and support the airline's strategic plan to expand its intercontinental flight network.

Nguyễn Thị Phương Thảo stated that the new A330neo aircraft strategically enhance Vietjet's fleet development, boosting the airline’s operational capacity to support its global expansion. The introduction of advanced, fuel-efficient A330neo aircraft into Vietjet's fleet is part of their sustainable development strategy and ESG goals, aiming for Net-Zero emissions by 2050.

Benoit de Saint-Exupery of Airbus highlighted the finalization of a significant order with Vietjet, emphasizing the A330neo's versatility for various business models and routes. The A330-900, powered by Rolls-Royce Trent 7000 engines, can fly 13,300 km non-stop.

With a fleet of over 105 aircraft and a constantly growing passenger volume, Vietjet is actively expanding its intercontinental flight network and developing new and modern fleets in collaboration with global strategic partners such as Airbus.

Current State and Challenges of Vietnamese Airlines

As of July, Vietnamese airlines have a combined fleet of 195 aircraft operating under the Air Operator Certificate (AOC), according to a report from the Civil Aviation Administration of Việt Nam. However, there has been a reduction of 36 aircraft compared to the previous count.

Out of the total fleet, an average of 167 aircraft are actively in operation, down 51 aircraft compared to the same period in 2023.

Due to a sharp decline in the number of operated aircraft, Vietnamese airlines have been actively engaged in searching for and negotiating aircraft leases as a means to supplement and replace the grounded fleet.

In addition to their efforts in securing leased aircraft, Vietnamese airlines have implemented multiple strategies to sustain and enhance their capacity.

These encompass adjusting aircraft operation schedules, minimizing turnaround time for flight transfers, optimizing aircraft use during the day, and bolstering flight frequencies during the afternoon and evening periods.

In 2023, Vietnamese airlines achieved an impressive operational aircraft ratio of 94.4 percent out of the total number of aircraft under their AOC.

However, due to the impact of the aircraft engine recall, this ratio dropped significantly to 85.6 percent in 2024.