- CAPA Analysis
- Schedule Analysis
- Route Maps
- Print Summary
- IATA Code
- ICAO Code
- Corporate Address
- 200 Nguyen Son Str.,
Long Bien Dist.,
Ha Noi city,
- Main hub
- Ho Chi Minh City Tan Son Nhat Airport
- Business model
- Full Service Carrier
- Domestic | International
- Joined Alliance
- Association Membership
- Codeshare Partners
- Air Europa Lineas Aereas
Cambodia Angkor Air
China Eastern Airlines
China Southern Airlines
CSA Czech Airlines
Delta Air Lines
KLM Royal Dutch Airlines
Based in Hanoi, Vietnam Airlines is the national airline of Vietnam and wholly-owned by the Vietnamese government. Using a fleet of narrow and wide-body Airbus, Boeing, ATR and Fokker aircraft, Vietnam Airlines operates an extensive network of domestic and regional services within Southeast and North Asia and international services to Europe and Australia. Vietnam Airlines joined the SkyTeam alliance in 2010.
Location of Vietnam Airlines main hub (Ho Chi Minh City Tan Son Nhat Airport)
618 total articles
32 total articles
Cambodia has emerged as one of the fastest growing markets in Southeast Asia, recording 18% passenger growth for the second consecutive year in 2013. Both of the country’s main airports, at the capital Phnom Penh and the popular tourist destination of Siem Reap, saw high double-digit growth.
Continued expansion at flag carrier Cambodia Angkor Air, which has tripled the size of its still relatively small international network over the past 18 months, should lead to more rapid growth in 2014. There will also be continued growth from foreign carriers, including from six carriers which entered the market in 4Q2013. But there is a threat of political instability potentially dampening demand.
The Cambodian market has almost doubled in size since 2009. But the growth comes from a relatively small base and after declines in 2008 and 2009, when Cambodia was significantly impacted by the global financial crisis.
Rapid growth in the Vietnamese market is starting to spread to secondary airports with new domestic and international routes. The new routes mark an important new phase in the development of the Vietnamese market which will accelerate as the country’s carriers pursue rapid expansion.
Typically Vietnam’s secondary airports have only been linked to the three primary airports at Hanoi, Ho Chi Minh and Da Nang. Vinh will become the fifth Vietnamese airport with scheduled international services on 12-Jan-2014, when Vietnam Airlines launches services to Vientiane in Laos. In 2013 Vinh also added two new domestic routes from LCCs VietJet and Jetstar Pacific, giving the airport five domestic destinations.
Vinh joins Nha Trang as a Vietnamese secondary airport with international services. Vietnam Airlines launched services from Nha Trang to Moscow in 2013, giving the airport three domestic and one international route. More international services and new domestic routes are likely as Nha Trang emerges as a popular beach destination.
VietJet Air will pursue more rapid expansion in 2014, targets 50% share of Vietnam’s domestic market
VietJet Air is planning more ambitious expansion for 2014, including several new domestic and international destinations, as it looks to leverage its position as the largest low-cost carrier in Vietnam. The privately-owned group also aims to launch at least two overseas joint ventures in 2014.
VietJet, which turns two years old on 25-Dec-2013, already accounts for about 25% of Vietnam’s domestic market. It aims to capture a 45% to 50% share of the domestic market by the end of 2015 as it grows its domestic network to an expected 20 destinations, up from 11 currently.
In the international market VietJet only currently serves Bangkok. But the carrier aims to launch services to Cambodia, Hong Kong, Indonesia, Korea, Japan, Singapore and Taiwan by the end of 2014.
Etihad has launched services to Ho Chi Minh, becoming only the tenth non-Asian airline serving Vietnam. Abu Dhabi is now one of only seven destinations outside Asia-Pacific that are served non-stop from Vietnam.
Vietnam remains an under-served long-haul market with huge potential. But Gulf carriers have been quick to recognise the opportunities in Vietnam and are now among Vietnam’s largest international carriers.
Etihad follows rival Emirates, which launched services to Ho Chi Minh in Jun-2012. Qatar began serving Ho Chi Minh in 2009 and added Hanoi in late 2010. It is now Vietnam’s third largest foreign carrier.
VietJet is pursuing further network expansion over the next few months as the carrier looks to cement its position as the leading low-cost carrier in the Vietnamese market. VietJet is adding three more domestic routes for a total of 14 and is also preparing to launch services to Seoul, which would be its second international destination after Bangkok.
VietJet overtook Jetstar Pacific as Vietnam’s largest LCC less than one year after its 25-Dec-2011 launch. By its second-year anniversary at the end of 2013 the carrier will account for over 25% of capacity in the domestic market and have a fleet of 10 A320s – on both counts double the size of Jetstar Pacific.
But Jetstar Pacific is finally preparing a response as the Jetstar Group affiliate plans to launch international services by the end of 2013 and pursue domestic expansion. Jetstar Pacific and its majority owner Vietnam Airlines have done little so far to try to combat VietJet’s rapid ascent. If VietJet continues to expand quickly a response is inevitable although VietJet could try to avoid a potential conflict by focusing more on expanding planned joint ventures in other Asian markets.
Philippine Airlines (PAL) is preparing an ambitious expansion to Europe made possible after the carrier was recently removed from the EU’s list of banned airlines. PAL plans to launch non-stop services to Europe within the next few months and serve up to five Western European destinations in the near to medium term.
But PAL faces huge challenges in trying to carve out a sustainable niche in the Southeast Asia-Europe market. PAL and another Southeast Asian flag carrier, Garuda Indonesia, are both entering the market just as competition intensifies and while the European economy remains relatively weak.
PAL and Garuda will need to overcome three much larger Southeast Asian flag carriers which are well established in the European market along with two smaller ASEAN competitors. European and Gulf carriers also continue to expand in the Europe-Southeast Asia market, making it even tougher for a new entrant.
Great news! CAPA now offers email and phone contact functionality through its partnership with Gooey. Corporate access for this feature is USD1000 per annum.