Sats and Vietnam Airlines have signed a landmark strategic partnership agreement in Hanoi on Dec 17 to boost aviation infrastructure and logistics capabilities.
The agreement builds on the earlier memorandum of understanding (MOU) signed between both parties to work on the potential development of cargo terminals in Vietnam.
Under the new agreement, Sats and Vietnam Airlines will recognise each other as preferred partners for ground handling and cargo services across their networks.
Sats will provide enhanced operational support while Vietnam Airlines will also extend partnership benefits in “suitable markets”. Both companies will also explore future collaborations, including developing a new cargo terminal in Vietnam.
“The cooperation between Vietnam Airlines and Sats marks a pivotal step in our ongoing commitment to elevate service excellence, optimise operational costs, and reinforce our international operating capabilities,” says Lê Hồng Hà, president and CEO of Vietnam Airlines. “We strongly believe that Sats’ partnership will bring tangible value to our customers and fuel Vietnam Airlines’ long-term growth.”
Kerry Mok, president and CEO of Sats, says the partners — including Vietnam Airlines and Sats’ joint venture, Tan Son Nhat Cargo Services (TCS) — are enhancing the “consistency, safety, and efficiency of ground and cargo handling services across the network”.
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Sats has been a long-standing partner of Vietnam Airlines, delivering ground handling and cargo services at major airports across the airline’s global network including Singapore, Bangkok, Bangalore, Hong Kong, London and Paris. Its joint venture, TCS, also serves as Vietnam Airline’s core cargo arm, focusing on ground handling and logistics.
The agreed initiatives will be implemented immediately, says the joint release issued by Sats and Vietnam Airlines.
As at 1.43pm, shares in Sats are trading 7 cents higher or 1.92% up at $3.72.
