Boeing eyes supply chain expansion in Vietnam

At a press conference on the afternoon of August 25, country director for Boeing Vietnam Michael Nguyen said that at the Boeing Aerospace Industry Forum on the morning of the same day, about 50 suppliers, universities, and companies came to work with Boeing on cooperation possibilities.

“Over the past 25 years in Vietnam, we have been working with government agencies, airlines, and powerful groups here, contributing to improving technology, skills, and the level of production and research. In the new development century, we are determined to expand and develop further to keep up with tech trends, and more importantly to meet customers’ demands,” Nguyen elaborated.

“Boeing buys spare parts from suppliers worldwide. We find that Vietnam is a potential market where the workforce and experts are hard-working and have a high capacity. Boeing wants to follow the ways of Samsung and Intel to expand in Vietnam,” he admitted.

According to Boeing, the aviation sector in Southeast Asia will enjoy the fastest growth in the world. Over the next 30 years, the region is projected to need about 4,000 aircraft, with Vietnam expected to lead the trend.

“Boeing eyes more suppliers and partners in Vietnam to expand our supply chain network and meet growing demands,” regional vice president of Asia Supply Chain for Boeing Craig Abler told VIR. “This event is just the first step. We will have fact-finding trips to potential factories to find cooperation opportunities.”

Abler added, “Boeing is striving to increase its competitiveness amidst stiffening global competition. To be successful, we invest and tap into the best available human resources and capacity, thus generating the best products and services to compete in the market.”

At present, Boeing is working with seven suppliers in Vietnam. Boeing’s current suppliers in the nation are raising the bar to deliver world-class quality and productivity as they become an important part of the company’s global supply chain.

Vietnamese suppliers have been manufacturing components including aerostructures, electronics, and composites for the past decade to support Boeing's commercial aeroplane production. Boeing also collaborates with Vietnamese companies on best practices for lean manufacturing, supplier management, and other specialised training.

The Boeing Aerospace Industry Forum is the first event of this kind held in Vietnam, showing the giant’s commitment to supporting the country’s aviation industry.

At the event, Boeing shared its vision for increasing Vietnam's opportunities in aerospace manufacturing and training, supply chain, sustainable aviation, and research and development.

"The Aerospace Industry Forum builds upon Boeing’s collaboration with Vietnam and its aviation industry over the past 25 years to expand the country’s aerospace capabilities,” said Nguyen. “The significant opportunities outlined at the forum align with the government’s Make in Vietnam, Digital Vietnam, and Green Energy goals. We will continue to work with Vietnamese industry and universities to provide a foundation for long-term industrial growth."

Boeing also shared the company’s strategy to decarbonise aviation with a focus on fleet renewal, operational efficiency, renewable energy transition with an emphasis on sustainable aviation fuels, and advanced technology.

Boeing has identified Vietnam as an important market for its further expansion. Michael Arthur, senior vice president of Boeing and president of Boeing International shared his view about Boeing's vision for the Vietnamese market with VIR's Thanh Van.

A business mission led by Malcom An, senior managing director at Boeing, on June 1 worked with the Vietnam Air Traffic Management Corporation (VATM), seeking new business cooperation opportunities.

On August 25, the world's largest aerospace manufacturer Boeing will organise an aerospace industry forum in Hanoi with the participation of hundreds of representatives from ministries, agencies, and businesses in the industry.

US planemaker Boeing triumphed this week as it scooped up more orders than its European rival Airbus at the first Farnborough Airshow since aviation was ravaged by Covid.