POST Online Media Lite Edition



 

Vietnamese airlines order 40 Airbus jets for $6.5 billion

Staff Writer |
Vietnamese airlines plan to order 40 Airbus jets in deals worth an estimated $6.5 billion as they expand their fleets for a small but fast-growing market.

Article continues below






Strong economic growth and a burgeoning middle class has increased demand for travel both domestically and abroad, spurring carriers to increase routes.

In deals announced at the start of a two-day visit to the Southeast Asian nation by French President Francois Hollande, Vietnam Airlines, the country's flagship carrier, reached a preliminary agreement for 10 A350 planes worth $3.1 billion.

The widebody aircraft will allow the airline to expand its long-haul network, beginning with services between Ho Chi Minh City and Los Angeles.

Budget airline Jetstar Pacific - controlled by Vietnam Airlines and 30 percent owned by Australia's Qantas Airways (QAN.AX) - finalised its order for 10 A320 single-aisle planes valued at about $1 billion.

VietJet, the country's only private airline, placed a firm order for 20 A321s - worth $2.4 billion.


What to read next

Singapore Airlines to finalize $13.8 billion Boeing order next week
Hawaiian Airlines to add Airbus A330 to fleet
Airbus steps into Boeing's territory, makes deal with JAL