Further reform much anticipated for aviation sector

In 2025, the total passenger market segment is forecast to reach 84.2 million passengers, an increase of 10 per cent compared to 2024.

The market welcomed positive signals in the first months of 2025. Air transport activities continue to grow. In the first months of 2025, the total air transport market reached more than 20.7 million passengers, up 9.2 per cent on-year, of which, domestic passengers were more than 9 million (up 5.4 per cent) and international passengers were more than 11.7 million (up 12.3 per cent).

Freight transport reached 329,000 tonnes, up 12.4 per cent over the same period, of which domestic transport exceeded 60,000 tonnes, up 2.8 per cent; and international transport was 269,000 tonnes, up 14.8 per cent over the same period in 2024.

This is a high growth rate in the context of Vietnamese airlines still lacking aircraft. At key airports such as Noi Bai, Danang, and Tan Son Nhat, passenger and cargo traffic through the airports and the number of flights have sometimes grown by double digits, and the Tan Son Nhat International Airport has seen a record number of flights per day, at more than 1,000.

In the first quarter, the Civil Aviation Authority of Vietnam (CAAV) promptly deployed tasks in direction and state management in line with its functions and tasks under the direction of the Ministry of Construction (MoC).

It completed policy documents for drafting the amended Law on Vietnam Civil Aviation to submit to the ministry and continue to carry out the next steps when getting approval from the National Assembly.

Also in the first quarter, the MoC approved adjustments to the master plan for development of the airport system nationwide towards 2030 and beyond.

For component project 4 of the Long Thanh International Airport Phase 1, the authority has established a working group to assist in implementing procedures to put the airport into operation the same time, and urge investors to comply with the schedule in the contract signed with the CAAV and commit to the authority to complete it before the end of the year.

Meanwhile, the CAAV held a meeting with the Slot Coordination Team and airlines on implementing tasks related to slot coordination, monitoring operations, updating ticket sales, and seat reservations of Vietnamese airlines during peak periods; as well as researching and developing a slot coordination plan for the Long Thanh International Airport.

For aviation safety, the CAAV has intensified safety inspections of aircraft operations during the Lunar New Year at airports with high-altitude flights, and organised a meeting of the aviation safety risk assessment council to develop a new version of the national safety programme to meet the standards of the International Civil Aviation Organisation.

It also established an aircraft accident investigation agency, and issued directives on improving operational safety during peak periods and on ensuring general aviation safety.

Elsewhere, e-government and digital transformation are being accelerated, cutting down administrative procedures. In the first quarter, the results of administrative procedure settlement were recorded at 98 per cent, while the results of digitalisation reached 98 per cent.

Looking forward, we will continue to carry out legal reform to facilitate business activities and support the sector’s recovery.

The Civil Aviation Authority of Vietnam has just issued a directive on improving and enhancing the capacity of aviation security control at the Airports Corporation of Vietnam (ACV).

Pacific Airlines has recorded zero passengers since the start of April after the budget airline returned its last aircraft at the end of March in an attempt to write off debts, perfectly encapsulating the ongoing struggles of businesses operating in the aviation sector.

Vietnam's aviation sector has shown strong growth since the start of the year, driven by robust business performances and new, well-funded investors.

(*)Ho Minh Tan, deputy general director Civil Aviation Authority of Vietnam