Hanoi, June 3 - Vietnam Airlines, the national flag carrier of Vietnam, is on the cusp of finalizing a significant order for 50 Boeing 737 MAX jets, a deal initially agreed upon in 2023, according to a company executive speaking to Reuters. This development marks a pivotal step in the airline’s ambitious fleet expansion and modernization strategy, aimed at meeting the growing demand in Southeast Asia’s rapidly expanding aviation market. The executive, who was not authorized to speak publicly and thus remained unnamed, indicated that the order will be completed “very soon,” signaling a firm commitment to enhancing the airline’s operational capabilities.
.gif)
The provisional agreement for the 50 Boeing 737 MAX aircraft, specifically the 737-8 variant, was first announced in September 2023 during a high-profile signing ceremony attended by U.S. President Joe Biden and Vietnamese government officials. Valued at approximately $7.8 billion according to the White House, though potentially lower with customary discounts, this deal underscores Vietnam’s strategic efforts to strengthen economic ties with the United States. Vietnam, an export-dependent nation, faces pressure from Washington to reduce its trade surplus, which has been a point of contention due to tariffs imposed by the U.S. The purchase of American-made Boeing aircraft is seen as a move to balance trade relations and avoid further economic penalties.
Vietnam Airlines’ decision to opt for the Boeing 737 MAX is notable, given that its current narrow-body fleet consists entirely of Airbus A320 and A321 aircraft. The airline operates a mixed fleet for its wide-body operations, including 15 Boeing 787 Dreamliners and 14 Airbus A350-900s, serving over 50 destinations across 17 countries. The introduction of the 737 MAX, with its fuel efficiency and extended range of up to 3,500 nautical miles, will enable Vietnam Airlines to expand its domestic and regional routes while replacing older, less efficient aircraft. The carrier has projected a need for up to 100 new narrow-body jets by 2035 to support its growth and fleet renewal plans, aligning with Vietnam’s goal of becoming a leading aviation hub in the region.
In April 2025, Vietnam Airlines took a significant step toward securing the necessary funding for this acquisition by signing a memorandum of understanding with Vietcombank, Vietnam’s largest lender. While the agreement did not specify the aircraft manufacturer, industry sources confirmed that it pertains to the 50 Boeing 737 MAX jets. The airline’s decision to proceed with Boeing, despite its historical reliance on Airbus for narrow-body aircraft, reflects a strategic shift influenced by both operational needs and geopolitical considerations. The 737 MAX’s advanced technology, including a 20% reduction in fuel consumption and emissions compared to older models, offers Vietnam Airlines an opportunity to modernize its fleet while addressing environmental concerns. The order also highlights Boeing’s enduring relationship with Vietnam Airlines, which began in 1995 when the airline leased Boeing 767s. As Southeast Asia’s aviation market continues to grow—projected by the International Air Transport Association to serve 150 million passengers annually by 2035—Vietnam Airlines is positioning itself to capitalize on this demand. The airline’s fleet strategy, outlined for 2025-2035, emphasizes sustainable growth and enhanced service quality, particularly on high-demand domestic and Asian routes. While the executive noted openness to Airbus if delivery slots become available, the imminent finalization of the Boeing deal suggests a clear direction for the airline’s immediate future. This order not only strengthens Vietnam Airlines’ operational framework but also reinforces the economic partnership between Vietnam and the United States, fostering job creation and industrial collaboration.