Vietnam is rapidly expanding its aviation sector, driven by economic growth and infrastructure development. At the Singapore Airshow 2026, Dassault Aviation and ATR highlighted the market's need for innovative approaches, emphasizing filling structural gaps rather than merely increasing capacity on busy routes.
Dassault sees potential in business aviation, noting that Vietnam's market is still nascent but developing quickly due to industrialization and integration into global supply chains. Business jets offer time savings through direct point-to-point travel, particularly beneficial for companies operating across borders. The ongoing airport expansions, such as the newly operational Long Thanh International Airport, support this trend.
Addressing Regional Connectivity
ATR points out a significant gap in regional turboprop operations, which currently constitute about 2% of Vietnam's fleet. They argue that shorter-stage routes connecting smaller cities and neighboring countries present an opportunity to ease congestion at major airports and enhance regional mobility. Policy reforms, including lower fees and eased regulations, are seen as crucial to fostering new regional carriers.
“Policy support will be critical. Simplifying regulations for smaller airlines, reducing entry barriers and offering incentives such as lower airport fees on secondary routes could encourage new regional carriers to emerge,” said Jean-Pierre Clercin.
Both manufacturers recognize challenges such as unfamiliarity with aircraft ownership and competition from larger airlines focused on international expansion. The upcoming law on civil aviation in Vietnam, effective from 2026, is expected to facilitate private sector involvement and infrastructure growth, paving the way for a more dynamic regional aviation ecosystem.
