Boeing and VietJet have signed a memorandum of understanding today at the 2018 Farnborough International for an additional 100 737 MAX airplanes.
The agreement, which includes 80 737 MAX 10s and 20 737 MAX 8s, is valued at more than $12.7 billion at current list prices.
The Vietnamese low-cost carrier will become the largest MAX 10 customer in Asia once the deal is completed.
VietJet plans to leverage the added capacity of the MAX 10 to satisfy surging demand on high-dense domestic routes, as well as on popular destinations throughout Asia.
“We are excited to introduce Boeing’s newest 737 MAX 10 into our rapidly growing fleet.
“These new airplanes will fit perfectly into our growth strategy, providing the efficiency and range for VietJet to expand its route network and offer more international destinations for our customers and expand alliances across Asia Pacific, the fastest growing aviation market in the world,” said Nguyễn Thị Phương Thảo, president, VietJet.
As part of the agreement, Boeing would partner with VietJet to enhance technical and engineering expertise and the training of pilots and technicians in Vietnam, helping to further develop the commercial aviation ecosystem in the growing country.
Boeing will also support VietJet in improving management capabilities at the airline and in the country.
VietJet is Vietnam’s first privately-owned airline and is also the first low-cost carrier in the country.
The airline is in the midst of bolstering its world-class fleet with highly efficient and capable airplanes that will allow for expansion of its regional network.
In 2016, VietJet finalized an order for 100 high-capacity 737 MAX 8 airplanes, which set the mark for the largest-ever single commercial airplane purchase in Vietnam aviation.