Singapore-based budget airline Jetstar Asia will permanently cease operations on July 31, 2025, as part of a strategic restructure by parent company Qantas following an extensive internal review that deemed the airline's low-fare business model unsustainable amid rising operational costs.
The closure will directly impact more than 500 employees in Singapore who face layoffs, though Qantas has committed to providing retrenchment benefits and employment support services to affected staff members during this transition period.
Jetstar Asia cited escalating supplier costs, airport fees, and aviation charges in recent years, combined with intensified regional competition and capacity growth, as primary factors making it increasingly difficult to maintain the low fares fundamental to its budget airline business model.
The airline will continue operating flights from Singapore on a progressively reduced schedule over the next seven weeks, affecting 16 intra-Asia routes, while customers with impacted bookings will be contacted directly and offered full cash refunds or alternative flight arrangements.
Qantas Group will redeploy Jetstar Asia's 13 aircraft to support fleet renewal and growth operations in Australia and New Zealand, ensuring that Jetstar Airways international services and Jetstar Japan operations remain completely unaffected by this closure decision.
