Jetstar will suspend two Queensland-New Zealand routes from 24 October 2026, axing Sunshine Coast-Auckland and Cairns-Christchurch services.
The low-cost carrier attributes the cancellations to unfavourable market conditions and low demand, saying load factors have remained “well below Jetstar’s network average”.
In a statement, Jetstar also blames rising industry costs for the cuts, including Australia’s Passenger Movement Charge growing to $80 per passenger, along with escalating airport charges, government fees and other aviation-related costs on both sides of the Tasman.
The carrier says impacted customers will be rebooked onto alternative flights through to the end of the previously scheduled operating period.
The suspensions contrast with a period of significant growth for the airline in Queensland, during which it launched or confirmed new services to Bali, Queenstown and Rarotonga in 2026.
A Jetstar spokesperson said the airline remained committed to the state despite the route suspensions.
“While we have made some difficult decisions on specific routes in response to low passenger numbers and challenging market conditions, our commitment to Queensland – and to making air travel affordable for Queenslanders – has never been stronger,” they stated.
“We remain the largest carrier to and from Cairns, offering more than 3.2 million low-fare seats each year across domestic and international routes to and from Cairns and Townsville.
“Across Queensland more broadly, 2025 was our biggest-ever expansion year – our seventh new international route out of Queensland – and that investment has continued into 2026 with new services between Brisbane to Rarotonga, Brisbane to Queenstown, and the Sunshine Coast to Bali.
“We’re focused on connecting Queenslanders to more destinations, for less.”
Elsewhere, the airline increased Melbourne-Auckland capacity and expanded its Asia footprint with a new Colombo service taking off in August.
In total, Jetstar carried more than 700,000 trans-Tasman customers in 2025, representing near-double-digit year-on-year growth (+9%).
“Affordable air travel should not become a luxury”
Jetstar’s decision has also reignited debate around the growing cost burden facing airlines on both sides of the Tasman.
Airlines for Australia and New Zealand (A4ANZ) chair Professor Graeme Samuel AC said the route suspensions illustrate the challenges airlines face when operating costs continue to climb.
“These decisions highlight a simple reality: when the cost of operating flights rises, airlines must either pass those costs on to travellers or reduce services that are no longer commercially viable,” he remarked.
Samuel said the impact was often greatest on thinner routes linking regional destinations.
“The impact is felt most acutely on thin and marginal routes, many of which connect regional communities and are often served by low-cost and value
carriers operating on tight margins.”
He noted airlines were already dealing with higher fuel costs linked to conflict in the Middle East while also facing increasing government taxes, charges and compliance obligations.
“Individually, each increase may appear manageable. Collectively, they represent a growing cost burden that ultimately flows through to consumers and undermines the viability of marginal air services,” he added.
Samuel also warned that continued cost increases could have broader consequences for travellers and competition.
“If policymakers continue to treat aviation as a source of revenue rather than an essential economic enabler, Australians and New Zealanders can expect fewer route options, less competition and higher airfares.”
“Affordable air travel should not become a luxury. It is vital to regional connectivity, economic growth and social inclusion.”
KARRYON UNPACKS: Not every route can be a winner. The bigger picture is Jetstar’s continued Queensland growth, but these cuts show trans-Tasman aviation economics remain challenging, even when demand looks healthy.
