VietJet Ends C909 Lease as Costs Outweigh Benefits

Reuters reports that VietJet has not renewed its C909 lease. Our readers are not surprised. This chart displays the latest data (through 3Q25) from Skailark and shows that the C909 (aka ARJ21) is rather unimpressive. [caption id="attachment_122239" align="aligncenter" width="640"] Skailark; AirInsight[/caption] The C909 uses the same engines as the Mitsubishi and Embraer. Fuel burn should be similar. While the C909's numbers have improved, they are unimpressive because they are no better than those of similar aircraft that have been in service for up to two decades. Since regional jets spend much more time doing turns, fuel burn profiles are more severe than single-aisles. This means that regional jets' fuel burn becomes the key metric, more crucial than with single-aisles. For added perspective, these two charts help guide why VietJet made its decision. [caption id="attachment_122240" align="aligncenter" width="1426"] Skailark; AirInsight[/caption] COMAC does not have the MRO support that eclipses either Embraer or Mitsubishi. Moreover, if VietJet needs a regional jet, the E-175 (ERJ-170-200LR) is a far better option. For more perspective, here is data from the US DOT reporting direct maintenance per hour for the CRJ900 and E-175, direct competitors to the C909. [caption id="attachment_122248" align="aligncenter" width="640"] US DOT; AirInsight[/caption] Finally, again using the Skailark data, here we compare some key metrics for regional jet operators. [caption id="attachment_122260" align="aligncenter" width="706"] Skailark; AirInsight[/caption] The C909 stages flown are comparable to its older competitors. The C909 has denser seating, which helps its fuel burn look competitive, especially compared to US operators. (Thank you, Scope Clause!) The C909 fleet is relatively small compared to its competitors. This impacts MRO support and costs. Even though C909 competitors are much older, they are flown harder. The E-175 averages 7.1 hours per day, the CRJ900 averages 6 hours per day, and the C909 averages 5.3 hours per day. The C909 is expected to have a D check every six years. The E-175 and CRJ900 require a D check every 5.9 years, a period that is essentially the same despite being worked much harder. Summary Given the rigors regional jets face, the C909 does not look like an attractive option. COMAC, undoubtedly backed by the Chinese state, offers attractive leasing rates to non-Chinese operators. Absent this state-supported financing, the C909 is unlikely to attract operators outside China. Press reports state that VietJet declined to extend the six-month leases because of "high operational costs." We now have an idea what those were. One report states "foreign crews and maintenance services." VietJet perhaps decided that running an airline is best performed with a simpler fleet. VietJet Air operated its two wet-leased C909s (registrations B-652G and B-656E) exclusively on domestic routes within Vietnam. The HAN-VCS leg has a flight time of ~2 hours, while SGN-VCS is shorter at ~40 minutes. These routes supported VietJet's expansion in regional connectivity and boosted tourism to Con Dao. Now comes a twist. The airline's current fleet, consisting of A320 and A321 aircraft, cannot operate from Con Dao Airport's short 1,830m runway, which requires regional jets or turboprops. No immediate plans exist for VietJet to acquire or lease regional aircraft for these routes. Industry sources indicate the routes could be suspended until potential infrastructure upgrades or new leasing deals (e.g., Embraer E190s, which VietJet previously considered but failed to secure). Vietnam Airlines offers limited service to Con Dao using ATR 72s. Will VietJet focus on larger markets with forthcoming MAXs? Most probably. The C909s were operating in a niche and likely were playing a role that could be euphemistically described as more than commercial.

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