Qantas Group has announced it will close its Singapore-based low-cost carrier, Jetstar Asia, by July 31, 2025, as part of a strategic move to focus investment on core operations and support its major fleet renewal program.
This decision allows Qantas to reallocate up to $500 million in fleet capital by transferring Jetstar Asia’s 13 Airbus A320 aircraft to its domestic and regional services in Australia and New Zealand. The redeployment will help lower operating costs, replace leased aircraft, and create over 100 new jobs, including positions supporting Qantas’ regional mining operations in Western Australia.
Jetstar Asia, which has served the region for over 20 years, has faced growing challenges such as rising airport and supplier costs and intensified competition in the low-cost airline market. The airline is forecast to report an underlying EBIT loss of $35 million for the current fiscal year. The shutdown impacts only Jetstar Asia’s 16 intra-Asia routes from Singapore, with no effect on Jetstar Airways, Jetstar Japan, or Qantas’ international flights to Asia.
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Qantas Group CEO Vanessa Hudson emphasized that this strategic restructure will enhance long-term financial returns and accelerate the group’s aircraft modernization plans, which include nearly 200 new aircraft on order. Affected passengers will receive full refunds or alternative travel options, while impacted employees will be offered redundancy support and job placement assistance within Qantas or with other airlines. Despite the closure, Singapore remains a key regional hub for Qantas, supported by nearly 20 codeshare and interlines partnerships across Asia.
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