A deal between Vietnam Airlines and American aircraft manufacturer Boeing, worth a remarkable USD 7.8 billion was officially confirmed during Biden’s visit to Hanoi in September 2023. Boeing has further solidified its presence in the Vietnamese aviation market with another deal involving VietJet, a competitor of Vietnam Airlines, for the purchase of 200 of its 737 MAX aircraft.
Vietnam has emerged as the world’s fifth fastest-growing aviation market in 2022, following the easing of Covid-19 travel restrictions. The International Air Transport Association (IATA) forecasts that the nation will cater to an estimated 150 million air travelers by 2035.
U.S. President Joe Biden’s visit to Hanoi has also provided a platform for top corporate leaders to cultivate business collaborations. In addition to the Boeing deal, other ventures announced by the White House during Biden’s visit include Microsoft’s plans to develop a “generative AI-based solution tailored for Vietnam and emerging markets. Furthermore, Nvidia is set to partner with Vietnamese companies FPT, Viettel, and Vingroup, the parent company of VinFast, to advance artificial intelligence initiatives within the country. These developments indicate the growing economic ties between the United States and Vietnam promoted by the upgrade of bilateral relation to a “Comprehensive Strategic Partnership”.
(Source: Reuters, The White House)