New airline brings fresh competition to domestic aviation market

Sun PhuQuoc Airways is set to officially begin commercial operations on November 1. (Photo: VNA)

According to the Civil Aviation Authority of Vietnam, in the first nine months of 2025, Vietnamese airlines carried an estimated 43.7 million passengers, up 8.2% from the same period last year. Domestic flights served 29 million passengers, an increase of 7.6%. Tourist routes to popular destinations such as Da Nang, Nha Trang, Phu Quoc, and Quy Nhon have maintained seat occupancy rates above 85%, showing strong travel demand and room for further growth.

Sun PhuQuoc Airways is set to officially begin commercial operations on November 1, with initial routes including Phu Quoc–Ho Chi Minh City, Phu Quoc–Hanoi, Phu Quoc–Da Nang, Hanoi–HCM City, and HCM City–Da Nang. The airline aims to develop a “resort aviation” model that integrates flight services with luxury travel experiences.

The launch comes as Phu Quoc, now part of An Giang province, prepares to host the APEC Economic Leaders’ Week 2027, which is expected to welcome 10,000–12,000 delegates from 21 member economies. Increased flight connectivity will play a key role in serving this event and supporting the island’s long-term tourism growth.

SPA has received its first three aircraft of Airbus A321NX and A321CEO, and plans to operate eight planes by the end of 2025, expanding its fleet to 30–35 by 2027. The airline will use a hub-and-spoke network centred on Phu Quoc to connect major domestic and foreign destinations more efficiently, reducing the need for transit flights.

Analysts say the entry of Sun PhuQuoc Airways marks a new phase for Vietnam’s aviation sector, shifting competition beyond low fares to service quality and travel experience. As middle- and upper-income travelers seek more premium leisure options, existing airlines may need to adapt — by enhancing resort partnerships, improving service offerings, or adjusting pricing strategies to keep pace with the changing market./.

VNA

Source: https://en.vietnamplus.vn/new-airline-brings-fresh-competition-to-domestic-aviation-market-post331093.vnp