Vietnamese budget carrier VietJet is poised to take delivery of its first Boeing (NYSE:BA) 737 Max this Sunday, more than nine years after placing its initial order, according to company and government documents cited by Reuters. The handover, scheduled at Boeing’s (NYSE:BA) Seattle plant, is expected to be attended by President Luong Cuong, who will later travel to New York for the U.N. General Assembly.
The delivery marks a milestone in Hanoi’s long-running effort to balance its trade relationship with Washington. U.S. and Vietnamese officials have described VietJet’s Boeing (NYSE:BA) orders as part of a broader strategy to narrow Vietnam’s trade surplus and ease U.S. tariff pressure. In January, VietJet announced nearly $50 billion in deals with American corporations, including Boeing.
VietJet originally signed for 100 jets in 2016 and doubled that commitment two years later, but crashes involving the 737 Max and the pandemic delayed handovers. To date, the airline has operated an all-Airbus (OTCPK:EADSF) (OTCPK:EADSY) fleet, aside from two short-term leased COMAC aircraft. A second Boeing (BA) delivery could follow in October, Reuters reported, citing a person familiar with the matter.
The handover also comes against the backdrop of new U.S. tariffs on Vietnamese exports. In August, the Trump administration imposed a 20% duty, far lower than the 46% rate previously threatened, though Hanoi expressed disappointment. Meanwhile, Vietnam Airlines has also signaled interest in adding Boeing (BA) aircraft to diversify from its Airbus-heavy fleet, Reuters reported.