Cebu Pacific (CEB) is generating additional revenue from its expanding fleet after signing a wet lease agreement with Vietnam Airlines, allowing the budget carrier to deploy an aircraft during a seasonally slower travel period at home while supporting rising demand in Vietnam.

Under the agreement, CEB said Vietnam Airlines will use one of its Airbus A320neo aircraft, powered by Pratt & Whitney engines, for domestic operations from Wednesday, 15 July until 7 September.

The aircraft will be based in Ho Chi Minh City and operated by CEB pilots and cabin crew, serving routes between Ho Chi Minh City and Cam Ranh, Phu Quoc, Vinh and Da Nang.

Strong growth in air travel

“Vietnam and the broader Southeast Asian market continue to see strong growth in air travel, creating opportunities for airlines to collaborate more closely in meeting demand. As Cebu Pacific’s fleet continues to expand, we are well-positioned to deploy our capacity where it is needed most, including through strategic wet-lease partnerships during periods of lower demand in the Philippines,” CEB chief financial officer Mark Cezar said.

“This collaboration with Vietnam Airlines enables Cebu Pacific to broaden its role beyond passenger operations by providing operational support to airlines across the region. It also creates new opportunities to diversify our revenue streams while expanding our presence in one of the world’s fastest-growing aviation markets,” he added.

Aircraft leasing business strengthened

CEB said the deal strengthens its growing aircraft leasing business, following previous partnerships with foreign carriers.

In 2023, the airline entered into a damp-lease agreement with Bulgaria Air for two A320ceo aircraft to help meet higher travel demand in the Philippines during the post-pandemic recovery.

CEB also provided wet-lease services to Saudi Arabian low-cost carrier Flyadeal, which deployed two A320 aircraft during Flyadeal’s peak summer travel season in 2025.