In July 2024, Vietnam’s Bamboo Airways and Israel Aerospace Industries finalized a USD 36 million contract for aircraft engine maintenance and leasing.
Under the agreement, Israel Aerospace Industries will provide maintenance for six CFM56-5B engines on Bamboo Airways’ Boeing A321 aircraft during 2024-2025. Additionally, the company will lease one CFM56-5B engine to Bamboo Airways for a period of two years.
Bamboo Airways CEO stated that the high-quality maintenance, repair, and operations (MRO) services offered by the Israeli firm would enhance the airline’s service quality. He also noted that this initiative is part of Bamboo Airways’ strategy to operate a unified fleet consisting exclusively of Airbus A320/A321 aircraft.
In the first half of 2024, Bamboo Airways will add three more Airbus A320 planes to its fleet, raising the total to eight. The airline aims to expand its fleet to 12 by the end of 2024 and to 18 by the end of 2025.
The Vice President and General Manager of the MRO division at Israel Aerospace Industries highlighted that this contract marks a significant milestone for the Israeli firm in the Asian market.
Currently, Bamboo Airways is the third-largest airline in Vietnam by flight volume. According to the Civil Aviation Authority of Vietnam (CAAV), Vietnamese airlines operated 107,068 flights in the first five months of 2024. Bamboo Airways ranked third with 7,944 flights, following Vietnam Airlines (45,151 flights) and VietJet Air (45,829 flights).
(Source: The investor)
