Singapore: Jetstar Asia, the Singapore-based low-cost airline and a wholly owned subsidiary of the Qantas Group, will officially cease operations from July 31, 2025. The announcement was made by Qantas on Tuesday, marking the end of Jetstar Asia’s two-decade-long journey in the Southeast Asian aviation market. The decision comes as the airline faces increasing financial and operational challenges. Rising operating costs, including steep hikes in fuel prices, airport charges, and ground handling fees across Asia, have made the business unsustainable. Additionally, the intense competition from other low-cost carriers in the region has significantly eroded Jetstar Asia's market share. Jetstar Asia has struggled to maintain consistent profitability since its inception. According to Qantas, the airline posted profits in only six out of its 20 years of service and is forecasted to record a loss of approximately A$35 million (about USD 23 million) for the financial year ending June 30, 2025. As part of the shutdown process, Jetstar Asia’s current fleet of 13 Airbus A320 aircraft will be gradually returned to the Qantas Group. These aircraft will be redeployed to support operations in Australia and New Zealand, where they will help modernize fleets and reduce leasing costs. The closure will impact nearly 500 employees based in Singapore. Qantas has assured that it will provide all affected staff with appropriate redundancy packages, career transition support, and, where possible, assistance in securing alternative roles within the broader Qantas Group or with other regional airlines. Passengers holding bookings for travel beyond the shutdown date will be offered full refunds or options to be re-accommodated on other carriers. The airline will begin a phased wind-down of its services in the coming weeks, with all scheduled operations ending by the end of July. Jetstar Asia currently flies to 16 destinations across Asia, including Bangkok, Kuala Lumpur, Jakarta, Manila, Osaka, and Phuket. It is important to note that this decision affects only Jetstar Asia. Other Jetstar operations, such as Jetstar Airways in Australia and Jetstar Japan, will continue their services without interruption. The Qantas Group has described the closure of Jetstar Asia as part of a broader strategic shift to streamline operations and invest in its core markets. This includes expanding domestic capacity in Australia and New Zealand, supported by the upcoming introduction of more fuel-efficient Airbus A321XLR aircraft. The group has allocated a one-time financial provision of approximately A$175 million for the wind-down, while redirecting A$500 million toward fleet upgrades and growth in priority regions. Jetstar Asia began operations in 2004 and has been a familiar brand at Changi Airport, providing affordable air travel to millions across Southeast Asia. Its closure marks a significant change in the regional low-cost airline landscape and opens opportunities for other carriers to fill the void in the intra-Asia travel market. Stay tuned to Aviation Today for the latest in aviation.
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Singapore-Based Jetstar Asia to Shut Down after 20 Years Amid Heavy Losses

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Picture Credits: Jetstar Asia Singapore: Jetstar Asia, the Singapore-based low-cost airline and a wholly owned subsidiary of the Qantas Group, […]