Vinpearl Air JSC, whose former name is VinAsia Trade Development and Services JSC, has been granted a business license by the Hanoi Department of Planning and Investment, making it the latest entrant into Vietnam’s airline industry. The company was established in April 22 with capital of VND 1.3 trillion (USD 56 million).
Vinpearl Airlines is expected to have 30 or more aircraft for both domestic and international routes. Its three main shareholders are VinAsia Tourism Development JSC (45%), Hoang Quoc Thuy and Pham Khac Phuong.
VinAviation School and Vinpearl Air Training Centre will also be established under the cooperation agreement between Vingroup and Canada’s CAE Oxford Aviation Academy. Each year, around 400 pilots and mechanics will be trained under the Civil Aviation of Vietnam (CAAV), US Federal Aviation Administration (FAA) and European Aviation Safety Agency (EASA).
Vietnam is witnessing rapid growth in the aviation industry. The Transport Ministry of Vietnam set a target growth rate of 16% for the aviation industry between 2015-2020 and 8% between 2020 and 2020. According to the International Air Transport Association (IATA), in the past decade, Vietnam aviation revenue has grown annually by 17.4%, which is more than twice the overall growth rate of 7.9% for Asia. Bamboo Airways entered the market earlier this year. With the entry of Vinpearl Air, the Vietnam aviation industry will have six airlines: Vietnam Airlines, Jetstar Pacific, Vietjet Air, Bamboo Airways, Vasco and Vinpearl Air.
Growth is brining with it certain challenges in terms of Infrastructure and management capabilities. Problems being faced by the industry include inadequate number of pilots, flight supervisions, traffic management and aircraft engineers.
(Source: Vietnam News)
