return icon

More airlines join market, create infrastructure bottlenecks

Runways, infrastructure and air traffic control activities cannot keep up with the pace of aviation market development.

According to the Civil Aviation Authority of Vietnam (CAAV), airlines are aggressively planning to expand their fleet to serve development needs.



Vietjet Air, for example, reported that from now to 2023, it will receive 100 new aircraft from Boeing and Airbus, A320 and B737 Max.

The business license granted to Bamboo Airways shows that the air carrier can use 10 aircraft. It wants a new flight license, however, with registered capital level of VND1.3 trillion and a fleet of 40 aircraft.

At this time, there are at least two airlines queuing up for licenses – Vietravel Airlines and Vinpearl Air. Thien Minh Aviation JSC has registered its business in the field of air transport. Kite Air, the airline developed by Thien Minh, has registered capital of VND1 trillion and a base airport of Chu Lai in Quang Nam province.

Runways, infrastructure and air traffic control activities cannot keep up with the pace of aviation market development.

The establishment of new airlines is good news for passengerswho have more choices for flights at reasonable costs. However, the rapid expansion in the context of airport overloading is a headache for management agencies.

Analysts say that aviation infrastructure conditions remain poor, while the number of slots is limited. State management agencies find it difficult to allocate slots to airlines.

At the Ministry of Transport (MOT) Q3 press conference, the ministry leaders said they supported the establishment of new airlines, but admitted the problems in infrastructure.

MOT Deputy Minister Nguyen Ngoc Dong said Vietnam's aviation infrastructure is "too limited" for a very high aviation growth rate (15-17 percent).

In the case of Vietravel Airlines, according to the Airports Corporation of Vietnam (ACV), since the airline provides charter flights, it is even more difficult to allocate airport slots, because of the lower priority orders for charter flights.

Meanwhile, CAAV leaders remain optimistic about infrastructure for new airlines.

The Civil Aviation Authority of Vietnam (CAAV) said it was feasible for Vinpearl Air to choose Noi Bai as its base airport. However, it warned that the slots in good hours at Tan Son Nhat in HCMC and Noi Bai airport in Hanoi are no longer available.

Boeing has released a report about airlines in Southeast Asia, predicting that airlines in the region will need 4,500 new aircraft in the next 20 years, worth $710 billion. The aircraft manufacturer predicted that Vietnam would play a key role in the growth, thanks to the high GDP growth rate of over 6 percent. It is expected that Vietnam’s aircraft fleet will increase by four times by 2038.

Kim Chi


Vietnam Airlines, Jetstar Pacific adjust flight schedules due to storm

Vietnam Airlines, Jetstar Pacific adjust flight schedules due to storm

National flag carrier Vietnam Airlines and Jetstar Pacific on November 10 announced that they will adjust schedules of fights from/to Phu Yen, Quy Nhon, Nha Trang and Pleiku on November 10 due to storm Nakri.

Tight squeeze as new airlines set to take off in Vietnam

Tight squeeze as new airlines set to take off in Vietnam

With more airlines planning to take flight in 2020, the room for profit-making is expected to narrow in the burgeoning aviation market, triggering doubts over the possibility of achieving success among newcomers.


Drinks from dracontomelon: A popular heat-relieving drink in Hanoi

Sweet drinks made from ‘sau’, a fruit which is known scientifically as Dracontomelon, are a popular heat-relieving drink in Hanoi during the hot summer.

1,000 authors with doctoral degree or higher compiled textbooks for new academic year

As many as 1,574 authorities participated in compiling textbooks for six grades in accordance with the new general education program issued in 2018.

Expectations positive for growth trajectory

The Vietnamese economy has been gradually bouncing back thanks to the government’s major efforts to curb the pandemic and remove obstructions to progress for enterprises.

Law on Pharmacy needs to be amended

The lack of medicine at public hospitals has caused concern among the public. The Prime Minister has instructed the Ministry of Finance (MOF) and relevant ministries to find solutions to resolve the problem.

FIEs seek streamlined workforce policy

The human resources of Vietnam are improving to meet the demand of foreign-invested enterprises. However, they may require stronger policies on visas to enhance performance and transfer high technologies to Vietnam

US investors display confidence in Vietnam

Vietnam and the United States are seeking ways to increase their investment and trade ties, with the latter pledging to support the latter in education, training, and the energy transition.

Entrepreneurs blaze a trail in the city

Die-hard entrepreneurs are re-inventing themselves to solve business problems and find their niches in Ho Chi Minh City.

VN ranks 48th in Global Innovation Index 2022

Vietnam ranked 48th among the 132 economies featured in the Global Innovation Index 2022 (GII 2022).

Outstanding policies take effect in October 2022

A string of new policies on higher vehicle registration fee, termination of compulsory unemployment insurance premium, electronic identification and authentication and cybersecurity come into effect in October 2022.

Vietnam issues new regulations on storing data in cyberspace businesses

The data must be stored for at least 24 months, and system logs for criminal investigation purposes must be stored for at least 12 months.

12 sailors dead from suspected food poisoning on Chinese vessel, nine more hospitalised

Nine more critical ill sailors were saved after being taken to hospital in the southern province of Ba Ria-Vung Tau.

Tran Van Thao becomes first Vietnamese IBA champion

Tran Van Thao won the International Boxing Association (IBA) belt after overcoming Andrew Laurio of the Philippines, marking a significant milestone in his career and Vietnamese boxing as a whole by becoming the nation’s first IBA champion.

Users of Vietnamese digital platform surge 23.5% in August

Vietnamese’s use of domestic digital platforms recorded a year-on-year rise of 23.5% in August, with 494 million users.


Prime Minister chairs teleconference to review Jan-Sept socio-economic performance


Much room for sustainable growth of industrial real estate