Commercial Aviation
Vietjet Ends COMAC C909 Lease Highlighting Market Challenges
Vietjet concludes six-month COMAC C909 wet-lease citing high costs and lack of local support, underscoring challenges for COMAC in SE Asia.
Vietjet and COMAC: The End of a Six-Month Experiment
In the highly competitive world of Commercial-Aircraft, every decision, from fleet acquisition to route planning, is scrutinized for its economic and strategic implications. The recent conclusion of Vietnamese low-cost carrier Vietjet’s lease of two Chinese-made COMAC C909 aircraft marks a significant moment, not just for the Airlines, but for the broader aerospace manufacturing landscape. This development provides a practical case study on the immense challenges new players face when trying to penetrate a market long dominated by giants like Airbus and Boeing. The six-month trial was seen as a landmark for China’s aviation ambitions, representing a key step in its goal to establish its aircraft in the bustling Southeast Asian market.
The initial agreement, which saw the COMAC C909s take to the skies over Vietnam in April 2025, was layered with meaning. Occurring shortly after a high-level state visit, the lease was widely interpreted as a diplomatic and economic gesture aimed at strengthening ties between Vietnam and China. For Vietjet, it was an opportunity to test a new aircraft type on specific domestic routes, particularly those requiring specialized performance, such as the service to Con Dao Island with its short runway. For the Commercial Aircraft Corporation of China (COMAC), it was a crucial foothold in a foreign market and a chance to prove the C909’s operational capabilities on an international stage.
However, as the six-month contract expired on October 18, 2025, the decision not to renew has shifted the narrative. While the aircraft themselves reportedly performed without issue, the episode underscores the complex web of logistics, economics, and support infrastructure that dictates an airline’s fleet strategy. We will explore the factors that led to this decision, the operational realities of the wet-lease model, and the wider implications for COMAC’s global aspirations. This is not a story of aircraft failure, but one of business pragmatism and the high bar for entry into the global aviation ecosystem.
The Wet-Lease Arrangement: A Closer Look
The two COMAC C909 aircraft, registrations B-652G and B-656E, were supplied to Vietjet by China’s Chengdu Airlines under a wet-lease agreement. This type of lease, also known as ACMI, is a comprehensive package where the lessor provides the Aircraft, Crew, Maintenance, and Insurance. Essentially, it’s a turnkey solution that allows an airline to quickly add capacity without the long-term commitments of purchasing an aircraft or the complexities of a dry-lease, where the airline provides its own crew and operational support. This model is often used to cover seasonal demand, test new routes, or bridge capacity gaps while awaiting new aircraft deliveries.
For Vietjet, a carrier laser-focused on cost efficiency, the wet-lease model presented a double-edged sword. On one hand, it allowed for a low-risk trial of the COMAC C909, an aircraft not previously operated in Vietnam. On the other, it is a significantly more expensive arrangement than a standard dry-lease or outright ownership. The costs associated with using a foreign crew, along with maintenance and support managed by Chengdu Airlines, proved to be a substantial financial burden. For a low-cost carrier, where every operational expense is meticulously managed, these elevated costs were ultimately unsustainable over the long term.
The operational side of the lease appeared to run smoothly. Sources familiar with the matter confirmed that the aircraft performed acceptably during their six months of service. They were primarily used on domestic routes from Hanoi and Ho Chi Minh City, including the challenging route to Con Dao Island. The C909, formerly known as the ARJ21, is a regional jet designed for such missions. The successful deployment on these routes demonstrated the aircraft’s technical capabilities, but the underlying economic framework of the lease was the critical factor in the final decision.
The decision not to extend the lease was primarily driven by high operating costs associated with the wet-lease model, which included foreign crew, maintenance, and support. The lack of a local parts and support network in Vietnam also contributed to increased expenses and logistical challenges.
Logistics and Strategy: The Deciding Factors
Beyond the immediate costs of the wet-lease, deeper logistical hurdles played a crucial role in Vietjet’s decision. A key challenge was the absence of a local maintenance, repair, and overhaul (MRO) and parts support network for COMAC aircraft in Vietnam. In the modern aviation industry, having a robust and responsive support system is non-negotiable. When a part needs replacement or specialized maintenance is required, airlines rely on a global network to provide components and expertise swiftly to minimize aircraft downtime. Without this infrastructure in place for the C909, any required parts had to be sourced directly from China, adding layers of cost, complexity, and potential delays.
This logistical reality clashes directly with the business model of a low-cost carrier like Vietjet, which relies on fleet commonality to streamline operations. The airline’s primary fleet consists of over 100 Airbus A320 and A321 models, with significant Orders for Boeing 737 MAX jets. This standardization allows for efficiencies in crew training, maintenance procedures, and spare parts inventory. Introducing a new aircraft type from a different manufacturer, especially one without an established global support network, disrupts this finely tuned operational harmony. The added complexity and expense were significant factors weighing against the continuation of the COMAC lease.
Regulatory context also added another layer to the situation. While reforms had made it possible for aircraft certified by Chinese authorities to operate in Vietnam, some restrictions under local aviation law were still cited as a contributing factor. Ultimately, Vietjet has indicated no immediate plans to purchase or lease aircraft from COMAC, opting instead to focus on its existing strategy of expanding its established Airbus and Boeing fleets. The end of the lease will also see the airline withdraw from the Con Dao routes, as it lacks other suitable aircraft in its current fleet for that specific mission.
A Setback for Ambition: The Broader Implications
The conclusion of the Vietjet contract is more than just a footnote in an airline’s operational history; it is a notable setback for COMAC’s international ambitions. The six-month lease was a significant milestone, marking the first use of Chinese-made commercial jets on domestic routes in Vietnam and serving as a critical test case for COMAC’s expansion into the competitive Southeast Asian market. Its premature end highlights the monumental challenge of competing with the entrenched duopoly of Airbus and Boeing, who have spent decades building not just aircraft, but comprehensive global ecosystems of sales, support, and service.
This episode serves as a clear illustration that building a technically sound aircraft is only part of the equation. To win over major airlines, especially cost-conscious carriers, a manufacturer must provide a seamless and cost-effective operational experience. This includes accessible MRO facilities, a reliable supply chain for spare parts, and a proven track record of support. COMAC’s journey is still in its early stages, and establishing this global support network remains a primary hurdle. Furthermore, securing certification from major international regulators like the European Union Aviation Safety Agency (EASA) and the U.S. Federal Aviation Administration (FAA) is crucial for wider adoption, a process that remains a significant challenge for both the C909 and the larger C919 aircraft.
FAQ
Question: Why did Vietjet stop operating the two COMAC C909 aircraft?
Answer: Vietjet stopped operations because its six-month wet-lease agreement with Chengdu Airlines expired on October 18, 2025. The airline chose not to renew the contract, primarily due to the high operating costs associated with the wet-lease model and logistical challenges related to maintenance and parts support.
Question: Were there any safety or performance issues with the Chinese-made aircraft?
Answer: No, sources familiar with the matter confirmed that the two COMAC C909 aircraft performed acceptably and without any operational issues during the six-month lease period.
Question: What is a wet-lease agreement?
Answer: A wet-lease, also known as an ACMI lease, is an arrangement where the leasing company provides the aircraft, crew, maintenance, and insurance to the airline. It is a comprehensive, turnkey solution but is generally more expensive than other leasing models.
Question: What does this mean for COMAC’s expansion plans?
Answer: The end of the Vietjet contract is considered a setback for COMAC’s ambitions to expand its presence in the Southeast Asian aviation market. It highlights the challenges the manufacturer faces in competing with established players like Airbus and Boeing, particularly in providing a cost-effective and logistically simple global support network for its aircraft.
Sources: Reuters
Photo Credit: Reuters
Airlines Strategy
SITA Acquires Big Blue Analytics to Enhance AI-Driven Airline Disruption Recovery
SITA acquires Big Blue Analytics to integrate OCCam AI platform, aiming to reduce airline disruption costs by up to 30% and advance operational recovery.
This article is based on an official press release from SITA.
On June 1, 2026, global aviation IT provider SITA announced the acquisition of Spanish technology firm Big Blue Analytics. According to the official press release, the undisclosed transaction, centers on Big Blue Analytics’ flagship product, the OCC Assistant Manager (OCCam), an advanced artificial intelligence platform designed to optimize airline disruption recovery.
Flight disruption remains one of the aviation industry’s most expensive and complex challenges, costing airlines tens of billions of dollars globally each year. Historically, carriers have treated these operational hiccups as an unavoidable fixed cost of doing business. SITA’s acquisition signals a strategic shift toward utilizing concurrent AI processing to mitigate these expenses and streamline recovery operations.
By integrating OCCam into its existing suite of aviation IT solutions, SITA aims to provide airlines with the tools to resolve cascading operational issues in minutes rather than hours. The technology promises to deliver measurable financial returns by simultaneously evaluating aircraft, crew, and passenger constraints during irregular operations.
Breaking the Sequential Bottleneck in Disruption Management
The Limitations of Legacy Systems
According to the provided research data, traditional disruption management tools operate on a sequential basis. When a flight is delayed or canceled, operations controllers typically attempt to reassign an aircraft first, followed by sourcing legal crew members, and finally rebooking the affected passengers. This step-by-step methodology frequently results in rework, as a solution in one area may violate constraints in another. Consequently, minor disruptions can quickly cascade into network-wide issues, placing immense real-time pressure on duty managers.
The OCCam Advantage
The press release details that OCCam fundamentally alters this approach by breaking the sequential decision-making process. When irregular operations occur, the AI platform evaluates every active constraint simultaneously. This includes aircraft availability, complex crew scheduling rules, passenger itineraries, and mandatory maintenance requirements.
By processing these variables concurrently, OCCam generates a single, coherent, and feasible recovery plan within minutes. Furthermore, the system provides airline operators with ranked recovery scenarios, offering a holistic view of cost implications, on-time performance metrics, passenger impact, and regulatory compliance before a final decision is executed.
Financial Impact and Measurable ROI
Quantifying the Cost of Disruption
The financial burden of operational disruptions is substantial. Industry data cited in the acquisition announcement indicates that for an average mid-size carrier operating just over 100 aircraft, annual disruption costs typically range between $70 million and $80 million.
Projected Savings
SITA reports that in live production environments, airlines utilizing the OCCam platform have successfully reduced their disruption-related costs by up to 30%. For a mid-size carrier, a 25% to 30% reduction translates to an estimated $20 million to $30 million in annual savings. The platform facilitates this by tracking decisions in real-time, allowing carriers to quantify savings, benchmark their operational performance, and document their return on investment from the first day of implementation.
SITA’s Vision for the Intelligent Operations Control Center
Integration with Existing Infrastructure
SITA plans to scale the OCCam platform to airlines worldwide, positioning the acquisition as a foundational element for its broader vision of an “Intelligent Operations Control Center.” In this envisioned ecosystem, planning, monitoring, and recovery are integrated into a single unified system. SITA is already a dominant provider in this space; its Mission Watch solution is currently utilized by more than 100 Operations Control Centers globally. The company states that OCCam will be seamlessly integrated into this existing infrastructure, alongside other AI products like SITA OptiFlight.
Future AI Roadmap
Looking ahead, SITA’s roadmap for disruption management technology includes the integration of large language models (LLMs) and multi-agent systems. According to the company, these advancements will eventually allow systems to predict disruptions earlier and further automate the recovery process.
Company leadership emphasized the strategic importance of this technological shift. David Lavorel, CEO of SITA, highlighted the necessity of agility in modern aviation:
“Airlines have traditionally treated disruption as a fixed cost of doing business, but there is a clear opportunity to approach it differently. In an increasingly volatile and fast-moving environment, the ability to recover with the same agility becomes critical. The airlines that act on this first will recover faster, fly more, and protect more revenue than those that wait.”
Yann Cabaret, CEO of SITA for Aircraft, echoed this sentiment, pointing to the unique capabilities of artificial intelligence in handling complex operational constraints:
“This is the first step towards a much bigger intelligent operations control center vision, one where planning, monitoring and recovery come together in a single system. AI allows us to handle multiple constraints at once and tailor decisions to each airline in a way that was not possible before.”
AirPro News analysis
We view SITA’s acquisition of Big Blue Analytics as indicative of a broader, aggressive industry trend: airlines are increasingly turning to artificial intelligence to offset rising operational expenses, volatile market conditions, and high fuel costs. By shifting disruption from an unavoidable “sunk cost” to a manageable, variable expense, early adopters of concurrent AI recovery systems stand to gain a significant competitive edge. In an era where passenger loyalty is heavily tied to reliability, the ability to recover from network disruptions in minutes rather than hours could become a primary differentiator for profitability among mid-size and major carriers alike.
Frequently Asked Questions
What is OCCam?
OCCam (OCC Assistant Manager) is an AI-enabled disruption optimization platform developed by Big Blue Analytics. It allows airlines to simultaneously evaluate aircraft, crew, and passenger constraints during a disruption to generate rapid, cost-effective recovery plans.
How much does flight disruption cost airlines?
According to data provided in the acquisition announcement, an average mid-size carrier with over 100 aircraft typically faces between $70 million and $80 million in annual disruption costs.
What is SITA’s future plan for this technology?
SITA intends to integrate OCCam into its existing global IT infrastructure, including its Mission Watch platform. The company’s future roadmap includes incorporating large language models (LLMs) and multi-agent systems to predict disruptions before they happen and further automate recovery.
Sources: SITA Press Release
Photo Credit: SITA
Aircraft Orders & Deliveries
ETF Airways Adds Fourth Boeing 737-800 to Its Fleet
Croatian ACMI operator ETF Airways inducts Boeing 737-800 9A-ICF, growing its fleet to five aircraft.
This is original reporting and analysis by AirPro News.
Croatian charter and ACMI operator ETF Airways has expanded its operational capacity with the induction of a Boeing 737-800, registered as 9A-ICF. The addition brings the carrier’s total fleet to five aircraft, supporting its growing footprint in the European wet-lease market.
The airline announced the fleet addition in early June 2026 through an official company statement. The aircraft represents the fourth Boeing 737-800 to join the Zagreb-based operator, which specializes in providing Aircraft, Crew, Maintenance, and Insurance (ACMI) services to partner airlines.
Aircraft history and specifications
The newly inducted Boeing 737-800, specifically a 737-8FZ variant, is powered by CFM International CFM56-7B26 engines and configured with 189 economy-class seats. According to fleet data from AvioRadar, the airframe holds Manufacturer Serial Number (MSN) 29659 and Line Number 3280.
Prior to joining ETF Airways, the aircraft operated for multiple carriers across Asia and Europe. Its operational history includes the following milestones:
- May 2010: Completed its first flight and was delivered to Shandong Airlines, registered as B-5531.
- September 2018: Transferred to South Korean low-cost carrier Eastar Jet, registered as HL8325.
- February 2026: Placed in storage under the Norwegian Air Shuttle Air Operator Certificate, registered as LN-NIK.
- June 2026: Officially entered service with ETF Airways as 9A-ICF.
In its announcement, ETF Airways highlighted the role of the new aircraft in maintaining operational reliability.
As our fleet continues to grow, so does our commitment to delivering safe, reliable, and exceptional service to our partners and passengers around the world.
Strategic growth and diversification
The arrival of 9A-ICF follows a period of strategic diversification for ETF Airways. In March 2026, the airline took delivery of its first turboprop aircraft, an ATR 72-600 registered as 9A-ATR. This marked a departure from its previously all-jet fleet, allowing the company to target regional market segments and short-haul ACMI contracts.
The fleet expansion aligns with broader infrastructure investments by the company. In late 2025, ETF Airways outlined plans to establish a dedicated maintenance base at Zadar Airport (ZAD) in Croatia, alongside the formation of independent maintenance and travel subsidiaries.
AirPro News analysis
We view ETF Airways’ dual-pronged fleet strategy as a calculated response to shifting demands in the European ACMI sector. By maintaining a core fleet of 189-seat Boeing 737-800s, the airline can seamlessly integrate into the summer schedules of major European leisure and low-cost carriers. Simultaneously, the recent introduction of the ATR 72-600 provides the flexibility to serve thinner regional routes where narrowbody jets are economically unviable. Securing mid-life 737-800s from the secondary market remains a cost-effective method for ACMI operators to scale capacity without the capital expenditure required for new-generation aircraft.
Sources: ETF Airways
Photo Credit: ETF Airways
Aircraft Orders & Deliveries
Azorra Completes Placement of 12 Ex-EGYPTAIR A220-300s
Azorra delivers final ex-EGYPTAIR A220-300 to Breeze Airways, with four airframes parted out to address PW1500G engine shortages.
Aircraft lessor Azorra has finalized the placement of 12 Airbus A220-300 aircraft formerly operated by EGYPTAIR, concluding a transaction that redistributes the narrowbody jets to new operators and dismantles select airframes to ease industry-wide supply chain constraints.
In a press release issued on June 10, 2026, Azorra confirmed the delivery of the final aircraft from the portfolio to Breeze Airways. The lessor initially purchased the 12 aircraft in February 2024 to facilitate the Egyptian flag carrier’s fleet transformation program.
Fleet redistribution and strategic part-outs
According to reporting by Air Data News, the 12 aircraft have been divided among three primary destinations. Breeze Airways received seven of the airframes, while Cyprus Airways took delivery of one.
The remaining four aircraft were allocated for a more unconventional purpose. In April 2025, Azorra entered an agreement with Delta Material Services to part out the four young airframes. Cirium Profiles data indicates this move was designed to supply critical components and spare Pratt & Whitney PW1500G engines to support Delta Air Lines and its active A220 fleet.
Azorra Chief Executive Officer John Evans stated the transaction demonstrates the company’s ability to create innovative solutions across the aviation ecosystem.
“Beyond expanding our A220 portfolio, these aircraft are helping address critical spare engine and parts availability challenges while supporting operators around the world,” Evans said.
Evans also noted the collaboration of Airbus and Pratt & Whitney throughout the complex transaction process, reaffirming the lessor’s confidence in the A220’s economics and performance.
EGYPTAIR’s operational shift
The sale of the A220-300 fleet resolves ongoing operational challenges for EGYPTAIR. Aviation Week previously reported that the carrier had grounded portions of its A220 fleet due to durability issues and maintenance delays associated with the PW1500G engines.
By divesting the relatively young aircraft, EGYPTAIR aims to improve maintenance commonality and focus on other aircraft types within its network.
Capt. Ahmed Adel, Chairman & CEO of EGYPTAIR Holding Company, noted the transaction formed an important part of the airline’s fleet transformation strategy. He expressed confidence that the aircraft would continue to deliver strong value for their new operators.
AirPro News analysis
The decision to part out four young Airbus A220-300 airframes underscores the severity of the supply chain constraints currently impacting the global aviation industry. We view this as a highly pragmatic asset management strategy. While parting out early-life airframes is typically a last resort, the chronic shortage of spare PW1500G engines has altered the economic calculus for lessors and operators alike.
By sacrificing a portion of the ex-EGYPTAIR fleet, Azorra is enabling Delta Air Lines to keep a larger portion of its own A220 fleet operational. This transaction also solidifies Azorra’s position as a dominant player in the A220 market. The lessor currently has 28 A220s in service globally and another 15 on order, representing a significant portion of its 338-asset portfolio.
Sources: Azorra
Photo Credit: Azorra
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