Vietnamese Airlines Sign $860M Aircraft Financing in U.S.
Vietnam Airlines and VietJetAir have signed major aircraft financing deals in the United States, totaling USD860 million. The agreements were announced during a Vietnamese government trade mission aimed at strengthening economic ties with the U.S.
Vietnam Airlines signed a USD560 million memorandum of understanding with Citibank S.A. to support its strategic investment and fleet modernization goals. Meanwhile, VietJetAir secured a USD300 million financing agreement with Av AirFinance to fund deliveries of Boeing 737-8 aircraft.
The deals were signed in the presence of Vietnam’s Deputy Prime Minister Ho Duc Phoc and mark a significant step in bolstering aviation and trade links between the two countries.
According to ch-aviation data, VietJetAir has 269 aircraft on order, including 170 from Boeing, excluding options. Vietnam Airlines is also planning to tender for about 50 narrowbody aircraft in the first half of 2025, followed by a second tender for a mix of narrowbody and widebody jets.
Vietnam Airlines emphasized that collaborating with top-tier U.S. financial institutions is essential to its long-term strategy for competitiveness and modernization. VietJetAir Chairwoman Nguyen Thi Phuong Thao highlighted the importance of fostering global partnerships to connect Vietnam with international markets.
VietJetAir currently holds contracts with U.S. companies worth nearly USD50 billion and expects to finalize another USD14 billion in agreements, including an expansion of a 2019 Boeing 737 MAX order.
With Vietnam posting a record USD123.5 billion trade surplus with the U.S. in 2024, large aviation contracts are seen as a way to help balance trade relations between the two countries.
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Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com