Airbus Eyes Component Plant in Vietnam: CEO

15:20 | 06/12/2015 Economy

European aircraft manufacturer Airbus Group has shown interest in setting up a facility in Vietnam to produce plane parts for the Southeast Asian market.

Airbus Eyes Component Plant in Vietnam: CEO

An A320 plane is taking off (Photo:

Airbus Group Chief Executive Officer Tom Enders has sent a letter to Vietnam’s Prime Minister Nguyen Tan Dung and Ministry of Transport, expressing the group’s plan to build a factory with one of its big industrial partners to manufacture electric seat belts for its best-selling A320 aircraft, according to local media.

Airbus will transfer its technology of the production of composite parts for the A320 NEO and A350 XWB to Vietnam, says the letter.

The German executive’s letter was sent four months after his meeting with Prime Minister Nguyen Tan Dung in July, when Airbus delivered its A350 jets to Vietnam Airlines, the first Asian customer for the wide-body plane.

VietjetAir, the country’s rising budget carrier, struck a contract to purchase six A321 planes in June, bringing the total deal value with Airbus to nearly $9.8 billion.

According to the Civil Aviation Authority of Vietnam, the local aviation market has grown strongly over the past few years, with the number of passengers estimated to reach 28.7 million in 2015, up 17.5% from 2014.

Local airlines’ fleets have expanded by 55 jets from 2010 to 131 currently, most of which are produced by Airbus.

Before Airbus, America’s Boeing and Russia’s Sukhoi had been reported to show intentions to establish their component maintenance plants in Vietnam./.