Vinpearl Air Joint Stock Company, a member of Vingroup owned by US billionaire Phạm Nhat Vuong, will soon enter the aviation market after being granted a business licence by the Ha Noi Department of Planning and Investment, Viet Nam News reported.
Formerly known as VinAsia Trade Development and Services JSC, the company was established on April 22 with its headquarters in Hanoi’s Vinhomes Riverside Long Bien.
Vinpearl Air has been deemed to have met a government decree dictating that airlines wanting to operate international routes and use 30 aircraft or more must have minimum capital of VND1.3 trillion.
The airline’s three founding shareholders are VinAsia Tourism Development JSC, which holds 45 per cent of the company. The remaining shares are held by two individuals, Hoang Quoc Thuy and Phạm Khac Phuong.
Meanwhile, Vingroup and Canada’s CAE Oxford Aviation Academy (CAAV) recently signed a co-operation agreement to train pilots, flight technicians and other personnel in the field of aviation, the article said.
Under the agreement, the VinAviation School and Vinpearl Air Training Centre will be established in Vietnam.
It is expected that 400 pilots and mechanics will qualify each year under the Civil Aviation Authority of Vietnam, US Federal Aviation Administration and European Aviation Safety Agency.
VinAviation School will train pilots and basic mechanics in line with CAAV standards and international standards of the FAA and EASA, while Vinpearl Air will also offer upgrading courses for existing pilots, mechanics, operators, crews and other aviation personnel.
In addition, VinUni will be responsible for aviation administration, the economics of air transport, and aircraft engineers.
This could help address the global undersupply of pilots, said Vingroup CEO Nguyen Viet Quang.
Competition in Vietnam’s aviation industry intensified when Bamboo Airways received the green light from the transport ministry.
With the participation of Vinpearl Air, Vietnam’s aviation industry will have six airlines: Vietnam Airlines, Jetstar Pacific, Vietjet Air, Bamboo Airways, Vasco and Vinpearl Air.
The transport ministry targets an average growth rate of 16 per cent per year in the 2015-20 period for the aviation sector and eight per cent in the 2020-30 period. Vietnam has been one of the most developed global aviation markets in the past decade, with an average revenue growth of 17.4 per cent, two times higher than the 7.9 per cent average of Asia, Viet Nam News said, citing figures from IATA.
Data from CAAV showed that in 2018 the total output of national carrier Vietnam Airlines and its members reached over 28 million passengers, accounting for 56 per cent of market share. Meanwhile, Vietjet Air’s transport volume reached over 21 million passengers, accounting for 44 per cent of market share.