FARNBOROUGH – Vietnamese carrier VietJet, having ordered 100 737MAXs yesterday continued their shopping spree at Day 4 of the Farnborough Airshow today with the purchase of an additional 50 A321neo aircraft through a Memorandum of Understanding. List prices are understood to be around $6.475 billion at list prices.
The deal was signed by VP of VietJet Dinh Viet Phuong and Airbus’ Chief Commercial Officer, Eric Schulz. The agreement means that the backlog for the carrier is at around 129 aircraft, which is broken down to 123 A321neos and 6 A321ceos respectively.The carrier is to use the aircraft to meet growing demand for services on both its domestic and international portfolios.
The carrier began operations back in 2011 and currently operates an all-Airbus fleet which is a sole of 59 A320 family aircraft. The carrier covers all domestic locations across Vietnam as well as up to 30 destinations across the Asian continent.
With the A321neo offering up to 240 passengers and 4,000 nautical miles range, which is equivalent to nine hours in the area, the carrier can now begin to look outside of the Asian market and potentially head towards the likes of the Middle East.
It is unclear what engines will be used in this order, but it is understood that VietJet will receive cost savings of 15% per seat from day one and up to 20% by 2020 respectively.
The A320 family has won over 14,200 orders, with 7,800 aircraft currently in service with 330 operators across the globe.
It is another strong order for the A321neo and will help VietJet expand into the markets that they want to. It will be interesting to see that with the 100 737MAXs and the 50 A321neos that they have ordered this week, what their expansion plans are indeed.