14TH NATIONAL CONGRESS OF THE COMMUNIST PARTY OF VIETNAM
Log in
Econ

Vietnam airlines allowed to fly to US for first time

Besides Vietnam Airlines, VietJet Air and Bamboo Airways have plans to open direct flights to the US.

Vietnamese airlines now can operate direct air service to the United State as Vietnam complies with International Civil Aviation Organization (ICAO) safety standards and has been granted a Category 1 rating by the US Department of Transportation’s Federal Aviation Administration (FAA).
 
US Ambassador to Vietnam Daniel J. Kritenbrink delivers letter from FAA to Director General of Civil Aviation Authority of Vietnam Dinh Viet Thang. Photo: US Embassy
US Ambassador to Vietnam Daniel J. Kritenbrink delivers letter from FAA to Director General of Civil Aviation Authority of Vietnam Dinh Viet Thang. Photo: US Embassy
US Ambassador Daniel J. Kritenbrink today delivered the letter from FAA to Director General of Civil Aviation Authority of Vietnam Dinh Viet Thang and congratulates Vietnam on achieving a Category 1 aviation safety rating.

“In the spirit of partnership, we are proud to offer our congratulations to Vietnam on this substantial milestone,” the US Embassy in Hanoi said in a statement.

The Category 1 status is based on an August 2018 FAA assessment of the safety oversight provided by Vietnam’s Civil Aviation Authority. The Category 1 is the result of years of diligent work by the Civil Aviation Authority of Vietnam and the Ministry of Transportation.  

With Category 1 status Vietnamese air carriers will be able to establish direct service to the United States and carry the code of U.S. carriers upon completion of the necessary remaining steps, including Vietnamese airports earning approvals to comply with ICAO security standards and recommended practices from the US Transportation Security Administration, and Vietnamese airlines earning economic authority from the US Department of Transportation.

National carrier Vietnam Airlines has repeatedly stated that it wants to launch flights between Ho Chi Minh City and Los Angeles using the Airbus A350-900, though as of now nothing official has been announced yet.

Vietnam Airlines’ CEO Duong Tri Thanh told Reuters in a story filed in February 2018 that making money flying to the US will be nearly impossible and it will take years to reach the breakeven.

Thanh said his airline benefited from a diaspora of 2 million Vietnamese living in the United States, but most of the traffic was more likely to be driven by price rather than the convenience of saving a few hours of travel time.

“The plan is the end of 2019. But if it is not feasible and it is too much we have to wait to find a way to work with partners to improve the traffic mix. Like most of the airlines, like Philippines and Thai, we don’t have enough business travelers. We are just dependent on visiting friends and relatives. That is no way to make money,” Thanh said.

Besides Vietnam Airlines, VietJet Air and Bamboo Airways have plans to open direct flights to the US.

During 2018, the number of American arrivals to Vietnam increased 11.9% year-on-year to 687,200, according to Vietnam’s official data.
Reactions:
Share:
Trending
Most Viewed
Gov’t weighs pilot hiring of CEOs for state firms

Gov’t weighs pilot hiring of CEOs for state firms

By 2030, all state economic groups and corporations are expected to adopt principles in line with OECD standards, which are regarded as leading international benchmarks for corporate governance.

Real estate firms sell bonds worth $402 million in May

Real estate firms sell bonds worth $402 million in May

Real estate companies have raised $862 million from bond issuance in April and May, thanks to an improved business environment and better access to funding.

Vietnam unveils new strategies to boost domestic market, aid businesses

Vietnam unveils new strategies to boost domestic market, aid businesses

As global trade uncertainties grow, Vietnam sees the domestic market not only as a key consumption driver but also a “lifeline” for businesses hit by protectionist export barriers.

Vietnam eyes US tilapia export boost as global supply falls

Vietnam eyes US tilapia export boost as global supply falls

Vietnam aims to increase tilapia output to 400,000 tons by 2030, making it the second-largest freshwater export species after pangasius.

Vietnam’s enterprises must act fast to weather US tariff shock: Experts 

Vietnam’s enterprises must act fast to weather US tariff shock: Experts 

Many of the key Vietnamese exports, such as wood products, electronics, and textiles, that are not on the US exclusion list could face steep tariffs.

Vietnam's mobile money pilot program extended to end of 2025

Vietnam's mobile money pilot program extended to end of 2025

Mobile Money, launched by the Ministry of Science and Technology, differs from e-wallets by linking users’ payment accounts directly to mobile phone numbers.

Vietnam taps innovation, global ties to elevate national brand

Vietnam taps innovation, global ties to elevate national brand

Vietnam is intensifying efforts to enhance its national brand, leveraging innovation, global partnerships, and strategic policies to bolster its global competitiveness and market presence.

Vietnam extends US$3.9 billion loan package for agro-forestry-fisheries

Vietnam extends US$3.9 billion loan package for agro-forestry-fisheries

The government has expanded the scope and scale of the credit program for the sectors which brought about US$62.4 billion worth of exports in 2024.