The flag carrier of Vietnam announced that it signed a Memorandum of Understanding (MoU) purchase 50 narrow-body Boeing 737-8s in a multi-billion-dollar deal.

Vietnam Airlines‘ announcement coincides with US President Joe Biden’s visit to Vietnam for key talks on trade and closer diplomatic relations.

US and Vietnam officials said the announcement will bolster jobs in both countries and strengthen the bilateral economic partnership. Building on Boeing’s long history of collaboration with Vietnam’s civil aviation industry, the carrier’s 737 MAX fleet will support the country’s goal of becoming a leading aviation hub.

Growing demand for single-aisle aircraft has driven Vietnam Airlines to acquire an additional 60 aircraft by 2030 and about 100 aircraft by 2035, including the Boeing 737 MAX, which has between 150 and 230 seats.