Thursday, June 26, 2025
Vietnam Airlines has unveiled an ambitious growth strategy for 2025, aiming to transport 25.4 million passengers. This bold target reflects the airline’s commitment to expanding its market presence and enhancing its service offerings. The growth plan comes as part of the carrier’s broader initiative to strengthen its position in the competitive global aviation industry, responding to the post-pandemic surge in demand for air travel. By focusing on fleet expansion, enhanced operational efficiency, and new route development, Vietnam Airlines is positioning itself to meet and exceed its growth objectives in the coming years.
Vietnam Airlines Sets Ambitious Growth Targets for 2025 and Beyond
Vietnam Airlines has set bold and ambitious targets for 2025 as part of its efforts to enhance its position in the regional and global aviation markets. During its recent shareholder meeting held on June 25, the airline revealed its goal of transporting 25.4 million passengers and handling 346,000 tonnes of cargo, reflecting a robust year-on-year growth of 11.6% and 11.5%, respectively. This growth is aligned with the airline’s broader objective of achieving consolidated revenue of 116.71 trillion VND (approximately 4.46 billion USD), a 3.5% increase over its projected 2024 figures.
Strategic Plans to Achieve Growth
To meet these ambitious targets, Vietnam Airlines has unveiled several strategic initiatives aimed at boosting operational efficiency, expanding its market share, and increasing overall capacity. Central to these efforts is a significant investment in new-generation aircraft, which will help improve operational capabilities and fuel efficiency. The airline’s focus on sustainability and environmental responsibility is also part of this expansion, with plans to reduce emissions and enhance fuel efficiency.
In particular, Chairman Dang Ngoc Hoa disclosed that Vietnam Airlines is preparing for a major fleet expansion worth 92 trillion VND, which will involve the acquisition of 50 new narrow-body aircraft over the period between 2030 and 2035. This expansion is designed to enhance the airline’s fuel efficiency, reduce emissions, and strengthen its competitive positioning in both domestic and international markets.
Investment in Infrastructure and Value Chain Enhancement
Beyond fleet expansion, the airline is investing heavily in infrastructure improvements at key hubs such as Long Thanh and Noi Bai airports. These upgrades are intended to accommodate future growth and improve operational capacity, ensuring that Vietnam Airlines remains agile and competitive in an increasingly dynamic aviation market.
Moreover, the airline is also focusing on expanding its value chain, including its engineering, catering, and logistics services. These efforts are expected to streamline operations, reduce costs, and improve the overall customer experience, reinforcing Vietnam Airlines’ status as a premium carrier in the region.
Expanding Routes and International Presence
As part of its strategic plan for 2025, Vietnam Airlines has made significant strides in expanding its network. This year, the airline has introduced five new international routes to Beijing, Bangkok, Bengaluru, Hyderabad, and Busan, further strengthening its footprint in key markets. Additionally, the airline has resumed flights to several popular destinations, including Moscow, Bali, Kuala Lumpur, and Hong Kong, signaling its commitment to rebuilding its network to pre-pandemic levels.
Looking ahead, Vietnam Airlines is set to add new routes to Milan in July and Copenhagen in December, further enhancing its international presence. This expansion is part of the airline’s vision to solidify its position as one of Southeast Asia’s most prominent carriers, with plans to become the region’s second-largest airline by passenger volume.
A Vision for Excellence and Digital Transformation
At the shareholder meeting, CEO Le Hong Ha reiterated the airline’s vision to become one of the top 10 most preferred airlines in Asia. To achieve this, Vietnam Airlines is focusing on maintaining its 4-star Skytrax rating while working towards a prestigious 5-star rating through a comprehensive restructuring plan. This plan involves optimizing its assets, making strategic investments, and improving governance.
One of the key elements of the airline’s strategy is digital transformation. Vietnam Airlines has entered into collaborations with technology companies like VNPT and FPT to enhance in-flight services such as Wi-Fi and upgrade its IT systems. The airline has already implemented an electronic identification system, which supports Vietnam’s national digital transformation initiative as outlined in Resolution 57-NQ/TW.
Commitment to Sustainability
Sustainability remains at the core of Vietnam Airlines’ growth strategy. The airline is actively working to develop an Environmental, Social, and Governance (ESG) framework, focusing on reducing emissions, enhancing fuel efficiency, and promoting the use of sustainable aviation fuels. By making these investments, Vietnam Airlines is positioning itself as a responsible and environmentally conscious carrier in line with global aviation trends.
The airline is also making efforts to invest in its workforce, ensuring that employees are equipped with the necessary skills and training to support the company’s long-term growth. This includes fostering a positive corporate culture and adopting international management best practices to ensure the airline remains competitive and innovative in a rapidly changing industry.
Strong Financial Performance
At the same meeting, shareholders approved the audited financial results for 2024, which showed a significant recovery for the airline. Vietnam Airlines posted a record-high consolidated revenue of 112.78 trillion VND, accompanied by an after-tax profit of 7.96 trillion VND. This performance marked a strong rebound as the airline operated 139,700 flights, transporting 22.75 million passengers, and achieving an impressive 85% on-time performance rate.
The airline’s fleet availability reached 95%, and its network returned to pre-pandemic levels, covering 58 international and 38 domestic routes to 52 destinations across 18 countries. This recovery highlights Vietnam Airlines’ resilience and its ability to adapt to the challenges posed by the COVID-19 pandemic.
Vietnam Airlines has set an ambitious target of transporting 25.4 million passengers in 2025 as part of its strategic growth plan. This goal reflects the airline’s commitment to expanding its market presence and enhancing operational efficiency to meet rising travel demand in the post-pandemic era.
Looking Ahead
Vietnam Airlines is embarking on a strategic journey to secure its place as one of the top airlines in Asia. With its ambitious targets for 2025 and beyond, the airline is investing in its fleet, infrastructure, and digital capabilities to offer an enhanced travel experience for passengers. Through its commitment to sustainability and innovation, Vietnam Airlines is positioning itself as a global leader in the aviation industry, ready to navigate the future with strength and resilience.
As the airline looks to expand its market share and improve operational efficiency, its ongoing investments in fleet modernization, digitalization, and sustainability will serve as key drivers of success in the years to come.
