Vingroup grounds aviation unit before it ever took off in Vietnam

Vingroup, whose businesses range from real estate to a new automaker named VinFast, will now instead invest in technology and manufacturing, according to the statement.

HANOI: Vietnamese conglomerate Vingroup JSC is abandoning plans to launch Vinpearl Air so it can focus on other businesses, including electric vehicle manufacturing.

"The aviation market of Vietnam has a lot of potential and is developing strongly, but it also has large companies already in operation, ” Vingroup Vice Chairman Nguyen Viet Quang said in an email statement. "Vingroup’s strong investment in aviation could lead to an oversupply.”