Vietjet and Boeing have successfully reached an agreement to reaffirm the previously announced order for 200 737 MAX aircraft during 2022 Farnborough International AirShow. Accordingly, both sides will execute a flexible aircraft delivery schedule to support Vietjet’s growth plans as traffic across the world continues to recover. The first 50 aircraft will be delivered to
Vietjet and Boeing have successfully reached an agreement to reaffirm the previously announced order for 200 737 MAX aircraft during 2022 Farnborough International AirShow.
Accordingly, both sides will execute a flexible aircraft delivery schedule to support Vietjet’s growth plans as traffic across the world continues to recover. The first 50 aircraft will be delivered to Thai Vietjet, the affiliate company of Vietjet in Thailand. Thai Vietjet is currently one of the leading domestic airlines in Thailand and favored among Thai people.
As part of the agreement, Boeing is committed to supporting Vietjet with technical services, training, technology transfer, research & development (R&D), to ensure lasting and sustainable growth with the highest levels of efficiency, reliability and affordability.
“We are honored to continue our partnership with Vietjet to drive affordable passenger service in one of the world’s fastest-growing aviation regions,” said John Bruns, Vice President, India & Southeast Asia Sales & Marketing, Boeing Commercial Airplanes. “The 737 Max, with its efficiency, flexibility, and capability, will support Vietjet’s goal to grow its route network in Asia and beyond.”
Vietjet and Boeing earlier signed order deals totaling 200 B737 Max with a maintenance and technical support package. The first order for 100 B737 Max was announced in 2016, being a remarkable deal for one of the most modern aircaft models at the time. In 2019, both parties increased the total order to 200 aircraft, making the order a record for Boeing.
Vietjet Managing Director Dinh Viet Phuong, said: “Today’s agreement is a milestone in the long-standing and trustful relation between Vietjet and Boeing as well as the Vietnam – U.S trade relation. Taking into account of the recent aviation infrastructure contraints in Vietnam, the first 50 aircraft will be delivered to Thai Vietjet, embedded with Vietjet’s signature livery. These Boeing aircraft will soon take off to Thai sky with investment from international finance resources.”
The agreement of 200 aircraft delivery has been interrupted because of the 737 Max’s suspension and the impacts of the Covid-19 pandemic on Boeing’s global supply chain. Vietjet’s operations, therefore, have been affected. Dispite the challenges, the carrier has weathered through the storms, maintaining excellent operation and finance capability and will continue to grow in the coming time.
The fact that Vietjet and Boeing mutually follow through previously signed agreements is also remarkable during the long-standing and trustful Vietnam – U.S relation. Vietjet’s order is expected to bring 200,000 jobs to the U.S labor market and totally creates a value worth around US$35 billion, including also aircraft orders and engine engineering services. The order is also expected to attract investment into Vietnam’s aviation industry, creating hundreds of thousands of jobs for the country’s aviation industry, including airports, air traffic control, technical services, training centers, technology transfer, component research and manufacturing, etc.
The biennial UK-based Farnborough International Airshow is one of the world’s biggest aerospace events. The 2022 show takes place during July 18 – 22, with more than 1,500 exhibitors and 80,000 visitors expected to gather, those of aircraft manufacturers, aircraft finance institutions, spare part and MROs providers, airlines among other industry players. For the first time in 4 years, the 2022 Farnborough Airshow hosts leading innovators from the aerospace, aviation and defence industries coming together face-to-face to make new and unlikely connections as the industry returns with strong recovery.