Eight years after re-establishing diplomatic relations, Vietnam and the USA have negotiated a breakthrough air services accord allowing for services between the two countries by airlines from each side. The agreement was initialled in Vietnam after talks in Hanoi, allowing both passenger and cargo services.
The two former foes, which were at war until 1975, had been working on a formal air services agreement since 1998. In 2000 a 'stopgap' agreement was reached allowing airlines from both sides to sell seats on services to the other country operated by third-country carriers.
That agreement led to several US airlines securing rights to sell seats on services to Vietnam operated by their third-country partners, while Vietnam Airlines began codesharing with China Airlines of Taiwan on some of its flights between Taipei and the US West Coast.
Vietnam Airlines is now looking to launch passenger services to the US West Coast, while US passenger carriers may be operating to Vietnam as early as next year. US cargo carriers also expect to launch services of their own to Vietnam, which has a rapidly growing economy.
The deal is expected to be formally signed in the coming months. It allows for an unlimited number of US cargo carriers to serve Vietnam, in addition to two US passenger airlines in the first two years and a third from the third year. There are some restrictions on US airline services, however, mainly concerning where they may stop en route to Vietnam.
Source: Airline Business
