Sun Group to Invest $145M in Vietnam's New Phan Thiết Airport
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Sun Group has been approved as the investor for the Phan Thiết Airport civil project, aiming for a 2 million passenger capacity within 24 months of launch.
Key Takeaways
- •Involves a total investment of VNĐ3.8 trillion (approx. US$145 million).
- •Targets an annual capacity of two million passengers by the year 2030.
- •Projected to be fully constructed and operational within a 24-month timeframe.
- •Grants investor Sun Group a 50-year term to operate the civil airport facilities.
The People's Committee of Bình Thuận Province has officially approved Sun Group as the investor for the civil aviation component of the Phan Thiết Airport project. The selection advances a key piece of Vietnam's aviation infrastructure strategy, committing an estimated VNĐ3.8 trillion (approx. US$145 million) to develop an airport capable of handling two million passengers annually by 2030.
This development finalizes the investment plan for the long-delayed civil section of the dual-use airport, whose military component is already operational. The project is a critical element in the government's plan to enhance transportation links to the south-central coastal region, a popular tourism hub. For Sun Group, a major private developer, this expands its aviation portfolio, which includes the successful development and operation of Van Don International Airport, Vietnam's first privately-owned airport. The approval signals a continued reliance on public-private partnerships to meet the country's ambitious infrastructure goals.
Project Scope and Specifications
According to the investment decision, Sun Group will develop the civil facilities on a 74.6-hectare area under a 50-year operating term. The project is scheduled to be completed and become operational within 24 months following the formal approval. The airport is being constructed to meet International Civil Aviation Organization (ICAO) Aerodrome Reference Code 4E standards.
This 4E classification certifies that the airport's runways and taxiways can accommodate large, wide-body aircraft with a wingspan of up to 65 meters, such as the Boeing 777 and Airbus A330. The initial capacity target is set at two million passengers per year, a figure the government expects to reach by 2030. Construction on the dual-use facility originally began in 2015, but the civil aviation portion faced significant delays until the recent investment resolution.
National Strategy and Private Investment
The Phan Thiết Airport project is a component of Vietnam's National Airport Development Master Plan for 2021–2030, with a Vision to 2050. This national strategy, overseen by authorities including the Civil Aviation Authority of Vietnam (CAAV), aims to expand the country's airport network from 22 to over 30 facilities by 2030. The expansion is designed to support rapid growth in tourism and business travel, which are central to the nation's economic development objectives.
The selection of Sun Group highlights a growing trend of leveraging private capital for major public infrastructure projects in Vietnam. This model allows the government to accelerate development timelines without relying solely on state funding. Sun Group's prior experience with Van Don International provides a proven template for private airport development and operation, a model likely to be replicated for other planned airport projects across the country.
Timeline and Regional Impact
With the investment structure now in place, the project is expected to proceed rapidly. The 24-month construction window suggests an operational start date sometime in 2028. Once active, the airport will provide direct air access to Bình Thuận province, which includes popular tourist destinations like Mũi Né.
Currently, travelers to the region must fly into Ho Chi Minh City and undertake a multi-hour road transfer. The new airport is anticipated to significantly reduce travel times, making the region more attractive to both domestic and international tourists. This improved accessibility is a key factor in the province's economic strategy, aimed at capitalizing on its coastal attractions and boosting the local hospitality industry. The airport's ability to handle international flights could open new direct routes from key tourism markets in Southeast and East Asia.
Why This Matters
This development is significant as it demonstrates Vietnam's commitment to modernizing its aviation infrastructure through strategic public-private partnerships. The project not only addresses a critical transportation gap in a high-potential tourism region but also reinforces the viability of the private investment model for large-scale national infrastructure. For the aviation industry, it marks the creation of a new gateway into Vietnam, potentially opening new routes and market opportunities for airlines as the country expands its global connectivity.
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Written by Ujjwal Sukhwani
Aviation News Editor & Industry Analyst delivering clear coverage for a worldwide audience. Covers flight operations, safety regulations, and market trends with expert analysis.
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