Home » Wantok News Blog » EXCLUSIVE: Airbus denies talks with Vanuatu, warns prepayments are forfeitable

EXCLUSIVE: Airbus denies talks with Vanuatu, warns prepayments are forfeitable

By Doddy Morris Jun 10, 2025 0

by admin

Photo: Airbus France

Airbus has told the Daily Postit has not held any meetings with the Government of Vanuatu since October 2024, despite Prime Minister (PM) Jotham Napat’s recent claim that negotiations are underway to recover VT2 billion paid for aircraft during the COVID-19 pandemic.

The aircraft manufacturer’s comments came in direct response to Daily Post Issue 7294, published on Saturday, June 7, titled “Gov’t renegotiates Airbus deal, eyes legal action.”

In an exclusive response, an Airbus spokesperson said: “We have not had any meetings with the Vanuatu government since October 2024, either in Vanuatu or in France, and have not received any official requests from the government to meet. We would of course be happy to do so, if invited.”

This appears to contradict statements by PM Napat, who said Deputy Prime Minister and Finance Minister Johnny Koanapo had travelled to France to hold talks with Airbus representatives. The PM also cautioned that if Airbus refused to repay or renegotiate the deal, the government would consider legal action.

Airbus, however, signaled that recovering funds may be difficult, stressing the consequences of backing out of aviation contracts.

“Any contractual default or failure to take delivery of an aircraft causes significant costs and damages for the aircraft manufacturer,” the spokesperson added. “In such cases, it is standard industry practice for pre-delivery payments to be forfeited.”

The VT2 billion in question was committed during the pandemic under a now-defunct expansion plan for Air Vanuatu. With the national airline now liquidated, the government is pushing forward with the creation of a new carrier, AV3.

While the government has emphasised its willingness to engage in dialogue, Airbus’s exclusive comments to the Daily Postsuggest no official contact has been made—and that any legal challenge may face significant contractual hurdles.

As the Finance Ministry leads efforts to establish AV3, including new board appointments and domestic fleet investment, the unresolved issue with Airbus could cast a long shadow over the future of Vanuatu’s national aviation ambitions.

doddy@dailypost.vu

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