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Vietnam Air inks $7.8 billion deal for Boeing 737 max planes, White House says

Published 09/11/2023, 03:14 AM
Updated 09/11/2023, 03:45 AM
© Reuters. An aircraft of the national flag carrier Vietnam Airlines taxis at Noi Bai airport in Hanoi, Vietnam December 23, 2020. Picture taken December 23, 2020. REUTERS/Kham/file photo
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(Reuters) -The White House said on Monday that Vietnam Airlines' deal to buy 50 737 Max jets from U.S. planemaker Boeing (NYSE:BA) is worth $7.8 billion.

The statement confirms the deal value that Reuters had reported on Sunday, citing a source. Reuters also previously reported Boeing's plan to sell the jets to Vietnam Air.

Boeing and Vietnam Airlines did not immediately respond to Reuters' requests for comment. The deal between the two companies was announced by the White House on Sunday.

Vietnam was the world's fifth fastest-growing aviation market in 2022 when it lifted COVID-19 travel restrictions, according to the International Air Transport Association (IATA), which predicts the country will serve 150 million air transport passengers by 2035.

Boeing also has a deal with Vietnam Airlines' rival VietJet for the sale of 200 of its 737 MAX planes.

© Reuters. An aircraft of the national flag carrier Vietnam Airlines taxis at Noi Bai airport in Hanoi, Vietnam December 23, 2020. Picture taken December 23, 2020. REUTERS/Kham/file photo

U.S. President Joe Biden is currently on a visit to Hanoi, with top company executives using that opportunity to forge business partnerships.

Other deals unveiled by the White House during Biden's visit included plans by Microsoft (NASDAQ:MSFT) to make a "generative AI-based solution tailored for Vietnam and emerging markets", and Nvidia (NASDAQ:NVDA) partnering with Vietnam's FPT, Viettel and Vingroup, VinFast (NASDAQ:VFS)'s parent company, on AI in the country.

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