Vietnam Airlines to purchase 50 Boeing 737MAX aircraft worth US $7.5 billion

September 11-Vietnam Airlines Group is expected to sign a preliminary agreement with Boeing to buy about 50 Boeing 737 MAX jets, local time sources said on Sunday. According to foreign media reports, the deal is worth about $7.5 billion.

Earlier, Boeing reached an agreement with Vietnam Airlines Group's rival Vietnam Jet to sell 200 737 MAX jets.

Vietnam will become the fifth largest aviation market in the world in 2022, according to the International Air Transport Association (IATA). The association predicts that Vietnam will provide air transport services for 150 million passengers by 2035.

The Boeing 737 Max jet was grounded for months after two fatal accidents in Indonesia and Ethiopia in 2018 and 2019. The aircraft will resume air transport services from the end of 2020.

Vietnam Airlines Group's financial statements showed a net loss of 1.3 trillion Vietnamese dong ($53.96 million) in the second quarter of this year, the 14th consecutive quarterly loss of Vietnam Airlines Group. The company said the loss was due to higher fuel prices and other financial risks.

Boeing, headquartered in Arlington, Va., has six suppliers in Vietnam and is working to improve their supply capacity.