Boeing (BA) on Monday said it would sell 50 737-8 Max jets to Vietnam Airlines, a deal valued at $7.8 billion, according to the White House.

The tentative agreement will allow the airline to replace its aging Airbus AE-A321 planes over time. However, Boeing has sold out most of its production slots through the end of the decade, hence the delivery of the planes may be years away.

President Joe Biden is currently in Hanoi, and top executives at U.S. and Vietnamese firms in the semiconductor, tech, and aviation sectors opened up discussions at a summit on Monday.

Besides Vietnam Airlines, Boeing also has a July 2022 deal with its rival budget carrier Vietjet for 200 planes, a record order for Boeing that is estimated to bring in about $35 billion in aircraft orders and engineering services.

As per the International Air Transport Association, Vietnam has been the fastest-recovering domestic aviation sector and the world’s fifth fastest-growing aviation market since Covid-19 restrictions ended. Vietnamese airports are expected to welcome about 150 million people a year by 2035.

To supply the growing Vietnamese market, Boeing has six suppliers with plans to increase their capabilities.

Boeing, along with other U.S. defense companies, has been exploring deals with the Vietnamese government to sell military equipment, such as drones and helicopters. Washington and Hanoi have long discussed a U.S. boost to Vietnam's military supplies.

Shares of Boeing🐠 opened more than 1% higher on Monday but gave up their gains to trade 0.5% lower around 10:30 a.m. ET.