Building Vietnamese Aviation Enterprises Capable of Competing Internationally

In the context of global integration, developing Vietnamese aviation enterprises with international competitiveness is an urgent need. With its strategic location and strong growth potential, Vietnam must build aviation businesses capable of going global.

Building Vietnamese Aviation Enterprises Capable of Competing Internationally

The key role of State-owned enterprises in aviation

State-owned enterprises (SOEs) continue to play a leading role in the aviation sector. During the COVID-19 pandemic, Vietnam Airlines suffered heavy losses but maintained operations thanks to timely support from the State.

The airline received preferential loans, capital increases, and special mechanisms to overcome difficulties. As a result, Vietnam Airlines gradually recovered, maintaining its role in facilitating trade and supporting the national economy.

This shows that SOEs not only need financial support but also favorable mechanisms in governance, investment, and technology innovation. These are the foundations for any aviation business to grow internationally.

Aviation as a strategic part of national infrastructure

Aviation is not just a transportation service—it is an essential part of the national economic and social infrastructure. A well-developed aviation network enables Vietnam to connect remote areas and expand international trade.

Vietnam Airlines and Airports Corporation of Vietnam (ACV) play a central role. These companies operate strategic routes, invest in airport infrastructure, and lead the domestic aviation market.

Notably, the Long Thanh International Airport project presents an opportunity to develop a world-class aircraft maintenance and repair (MRO) center. Vietnam currently lacks such a large-scale MRO facility, despite growing regional demand. This is a gap SOEs can fill if provided with the right policies.

Building Vietnamese Aviation Enterprises Capable of Competing Internationally

Special mechanisms are essential for growth

To compete globally, aviation businesses need financial and investment autonomy. A flexible governance framework, reinvested profits, and long-term strategic independence are essential.

The upcoming revision of the Law on State Capital Management is expected to create breakthroughs. The new law will grant enterprises more autonomy while ensuring transparency and accountability in capital use.

At a recent forum, many experts agreed that the State should develop a national aviation strategy aligned with infrastructure and multi-modal transport planning. Close coordination between sectors would help optimize investment and reduce redundancy.

Additionally, companies must accelerate the adoption of modern technology—such as big data, AI, and advanced management systems. These are key to improving operational efficiency and enhancing customer experience.

Corporate culture and national branding

Beyond finances and technology, corporate culture and branding are long-term competitive advantages in the global market. A Vietnamese airline that showcases national identity while delivering international-standard service can build trust and loyalty.

Aviation businesses should act as “brand ambassadors” in the sky. This is an effective way to promote the country’s image, people, and culture to international passengers.

When global travelers experience professionalism, hospitality, and cultural richness onboard, that’s a value that cannot be matched by low fares or route networks alone.

Conclusion

Building globally competitive aviation enterprises is a long-term objective. To achieve it, there must be a combination of flexible government policies and strong reform efforts from the enterprises themselves.

With the right mechanisms, State-owned firms like Vietnam Airlines and ACV have the potential to become national champions, helping elevate Vietnam’s position in the global aviation industry.