Vietnam Ministry of Transport has asked the government to grant an air transport business licence for Vietstar Airlines Multirole Corporation (Vietstar Airlines) as the carrier plans to take off and become the country’s newest scheduled carrier.
Established in 2010, Vietstar Airlines is owned by Vietnam Air Defence and Airforce, under the Ministry of National Defence.
The HCM City-based airline currently operates charter passenger and cargo frequencies and is also a specialist of aircraft repair and maintenance, aviation fuel supply, and pilot training in Việt Nam. The company plans to use aircraft, including Boeing 737 and Airbus 320 models in the first five years, baogiaothong.vn reported.
“The company has built a corporate indentity, including a logo and icon, suitable for its business operations,” said the General Director of Vietstar Airlines, Phạm Trịnh Phương.
If the airline is granted an exploitation licence, the management wants to focus on domestic routes between northern and southern Việt Nam, as well as on routes from Việt Nam to north Asian countries and to the ASEAN countries.
As of March 31, 2015, the company had registered capital of VNĐ800 billion (US$35.8 million). The company still lacks an additional VNĐ47.3 billion to reach the minimum capitalisation required for an international and domestic passenger and cargo carrier, as per a government decree issued in 2013.
Statistics of the Civil Aviation Authority of Việt Nam (CAAV) show that Vietnam currently has eight airlines, including Vietnam Airlines, Jetstar Pacific Airlines, Vietnam Air Services Company (VASCO), VietJet Air, Blue Sky Travel, Event Company Ltd, Hải Âu Airline JSC, and Green Planet Technology JSC.
“CAAV will support Vietstar Airlines in exploring domestic and international routes, as well as in building a cargo carrier airline,” said the General Director of CAAV, Lại Xuân Thanh.
Currently, Việt Nam does not have an airline specialising only in cargo transport services.
As of the end of 2015, Việt Nam had 131 aircraft. Vietnam Airlines has the largest fleet, with 86 aircraft. VietJet Air is second, with 25 aircraft. Jetstar Pacific is third, with 11 aircraft.