Sun Phu Quoc Airways, a subsidiary of Sun Group, has been officially approved by the Prime Minister to establish an airline in Vietnam with registered capital of VND 2,500 billion (approximately US$98.81 million), Tuoi Tre has reported.
The article notes that:
- The airline aims to have a fleet of 31 aircraft by 2030.
- The new carrier, SPA, will operate both regular commercial and charter flights, aiming to boost connectivity between Phu Quoc and major domestic and international destinations.
- SPA is expected to launch its inaugural flights in Q4 2025, adding to Sun Group’s aviation portfolio, which already includes Sun Air—a private jet service targeting luxury clientele.
- The move is part of Sun Group’s broader strategy to expand into aviation and airport infrastructure, positioning the firm as a major player in Vietnam’s air travel and tourism sectors.
Of note, Vietnam’s airline industry has been struggling to recover from the COVID-induced downturn in travel demand.
Bamboo Airways, in particular, has seen a good number of its routes cut over the last few years or so and its fleet significantly down sized.
Vietjet is also facing a US$180 million payment over broken lease agreements and Vietnam Airlines was at risk of insolvency in the middle of last year only to be saved by a US$150 million interest free government-backed loan.
That is to say, the sector is not doing well and adding another player to the mix could intensify the challenge of staying aloft for these airlines.