Vietnam Airlines JSC is seeking up to 25 Airbus SE single-aisle jets to revive its low-cost carrier segment. The national carrier is sounding out leasing companies for 20 to 25 A321neos seating 240 passengers, targeting a relaunch as soon as next year. This move supports a new medium-term strategy approved by shareholders earlier this year, which plans to operate two distinct airline brands: one full-service and one budget offering.
The timeline remains flexible, subject to market conditions. The revival of a budget brand marks a return to the no-frills space for the carrier, which previously operated Pacific Airlines, rebranded as Jetstar Pacific under a Qantas joint venture. Vietnam's fast-growing economy fuels expansion plans from competitors like Vietjet Aviation JSC and Sun Phu Quoc Airways.
In October, Vietnam Airlines held a 37% domestic market share, according to Cirium data, while Vietjet commanded 40% and Sun Phu Quoc 15%. The new jet orders aim to strengthen the carrier's position against these more nimble rivals.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing