Jetstar in Australia says it is ‘digesting’ a direction by the government of Vietnam to cease using the generic Jetstar brand and orange star logo next year on its Vietnamese controlled and based Jetstar Pacific franchise.
A spokesman for Jetstar says it was advised of the directive through the Ministry of Transport earlier this week. He says Jetstar owns 27% of the Vietnamese franchise and was carefully studying the ruling in consultation with the government owned State Capital Investment Corporation which owns 70% of the venture.
The spokesman says that Jetstar (100% owned by Qantas) is proud of the franchise’s achievement in building a profitable and growing and well recognised low cost carrier based in Vietnam.
“We are proud of contributing to the development of air transport within Vietnam and to its inbound tourism,” he says.
A brand new Jetstar A320 (above) of the type planned to be used to expand Jetstar Pacific and replace its aged Boeing 737-400s (below).
News reports from Asia tell a story of tensions arising over national economic policy between the Communist Party in Vietnam and its Communist Government.
According to those reports, there is a conflict of ideology occurring between those who believe state enterprises should be seen to be uniquely Vietnamese rather than subsumed by trans border or multinational branding, and those who argue for leveraging global branding to grow the national economy.
An english translation of one Vietnam news report says that early this week the Minister of Transport, Ho Nghia Dung decided that the use of the Jetstar name and logo may make people mistake the Vietnamese carrier for Australian carrier Jetstar.
The agreement under which Jetstar Pacific uses the same general trademarks as Jetstar in Australia and Jetstar Asia, based in Singapore, doesn’t expire until next October.