Airline executives tend to be overly optimistic about the routes they plan on launching, so it’s not unusual to hear them say that they’re going to be announcing a new route shortly, and then it doesn’t actually happen. Last August I wrote a post about seven rumored ultra longhaul flights to the US, along with…
Continue reading: Vietnam Airlines Admits They’d Lose Money Flying To The US, Plans To Do So Anyway
Share your questions, experiences, and thoughts below.
I’m not complaining. The lack of a direct flight from LAX is the one thing stopping me from going to SE Asia. Not in a high desire to go there so I’m waiting for when travel is easier. Yeah, I’m really spoiled with nonstops lol.
Singapore Airlines acts like a state airline (because it basically is). Their fares to Singapore from most parts of the globe are far cheaper than the same round trip originating in Singapore. Thus, Singapore residents are subsidizing foreign travelers by way of much higher airfares to spur tourism. If Singapore residents don't like this (and they shouldn't), they should vote with their wallets and fly other airlines of similar quality (like Qatar, Emirates, Etihad) that are much cheaper. Otherwise, SQ will continue to exploit their patriotism for profits.
I think they will follow thru. As stated before, VA is a majority state-owned company and there relations/cooperation between Vietnam and the U.S. have significantly improved over the last 5 years so it makes sense.
That would make it so easy instead of flying to DFW-HKG-SGN or to NRT. Looking forward to that route.
They would do better to fly a 1-stop service, develop a more useful hub, and market themselves on service/quality/loyalty in addition to having an attractive price for their country's passengers. Rather than creating an unsustainable route for the vanity of having the non-stop (which will cease in about 1 year). If SQ/UA/etc can barely make these kinds of flights break even, what hope do they have?
Rumour has it that the Japanese authority has denied the original plan of JKT-NRT-US by Garuda. But they are still planning to fly to the US via TPE or ICN anyway. Same for VN. SGN-TPE-LAX is something pending the governments' approval. (BTW, flying via TPE is almost identical to the "Great Circle" of SGN-LAX)
Nice find. A CEO sending a not so subtle message to its political overseers. He must be vert frustrated.
Vietnam doesn't have Open Skies agreements so the air travel market is completely unbalanced.
@Donald Osborne : no idea where your rant is coming from. SIN has multiple LCCs hubbed there, and the nation is also rather liberal with bilateral traffic rights and 5th freedom rights, so no one at SIN is ever forced to fly SQ because there's no fortress hub to speak of.
My ex-classmates currently doing i-banking in Singapore fly SQ J even when presented with good alternatives choices, so clearly it's a lot more than some "patriotism" BS you're touting.
Sounds more like you have some bitter ax to grind against SQ.
Jake nailed it. This was a message to VN govt. The guy is probably in the middle of slow negotiations for a subsidy package to make the flights happen. Will he succeed? Will we see VN @LAX? Now we're predicting the whims of political central planners in VN. I'll pass haha.
I wonder if Garuda flew into SEA if that would make more sense. DL could provide all the lift from there on.
Im bet they will make up the loss with additional other flights bringing people to connect.
VN is impossible to make money on this route since BR and CI are way more competitive and convenient to most Vietnamese.
The relationship between partially private and partially state owned enterprises in Vietnam is complicated. There are many stories of money losing ventures done for the sake of some government official’s brilliant idea. The agriculture market has collapsed a couple times because of these ideas. So it’s not that surprising.
I think they'll follow through. What is rarely mentioned in these situations are the soft benefits of having a VN tail present at airports. It's a flying billboard. Sure, they're losing money or not realizing hard benefits from the route, but they're advertising their airline and their country nonetheless. There's something to be said about ambassadorship of the airline independent of the financial gains.
@chub, I believe CASM would actually be better with the longer flight down to LAX as opposed to SEA, you still get a strong (and growing stronger) DL hub in LAX and thats where the majority of vietnamese-americans reside, not in SEA, which is more of a driver here than just simply flying to the US.
As the CEO stated there won't be enough business demand for this route.
However, SGN saw a 6 million passenger increase from 2015 to 2016. They are in the process of building a new airport with runways capable of handling an a380 to be completed between 2025 and 2035. The top 3 international destinations are Singapore, Bangkok, and Kuala Lumpur with Taipei being a distant 4th.
@Thanh: TPE is exactly on the route form Vietnam to US. BR and CI have more US destinations and better service. Vietnamese with 2 passports need a third country to switch passports. The most important thing is cheaper than VN.
Wish US carriers thought the same way rather than the only three words stuck in their executives’ heads “revenue”, “investors”, “nickel-and-diming”
@creditian lol, VN non-stop and Vietnamese speaking FAs are less convenient for “most” Vietnamese? Most Vietnamese resides in So Cal and don’t hold Vietnamese passport (refugees). Given the choices VN wins.
Ben Schlappig (aka Lucky) is a travel consultant, blogger, and avid points collector. He travels about 400,000 miles a year, primarily using miles and points to fund his first class experiences. He chronicles his adventures, along with industry news, here at One Mile At A Time.
.....however he has yet to review VN A350 long-haul Business Class.
Either that or no comp room at the Metropole Hanoi.
Visa issue?
@Matt - for what it's worth, if you really want to go to SE Asia on a non-stop flight, PAL offers a twice daily service from LAX to MNL. Just make sure not to book flights on their A343s - the cabin is outdated and terrible.
Umm... according to Wikipedia they’re about to launch flights to SEA, YVR, SFO, and LAX. Idk how Reliable this is, but it’s interesting.