Qantas Airways has confirmed plans to set up a low-cost operation in Japan as it aims to increase its presence in Asia, the fastest-growing aviation market in the world.
Qantas, Japan Airlines (JAL) and Mitsubishi have launched Jetstar Japan – a new domestic airline that will bring more low airfares to customers in Japthe land of the rising sun.

The budget airline is part of a wide-ranging overhaul to improve the fortunes of Qantas’ loss-making international operations. Qantas, JAL and Mitsubishi will each hold 1/3 share in the new company (voting-rights-basis).

Jetstar Japan will commence domestic operations by the end of 2012 and expects to fly from Tokyo (Narita) and Osaka (Kansai International), with other destinations under consideration including Sapporo, Fukuoka, and Okinawa. Jetstar Japan also plans to ultimately offer short haul international services to key Asian cities making travel more accessible and appealing to millions more people.

The airline will launch with an initial fleet of three new Airbus A320 aircraft, configured for 180 customers in a single class, growing to 24 aircraft within its first few years. Total capitalization commitment for the new airline is up to ¥12 billion.

Jetstar Japan will be officially launched in Tokyo today by the President of Japan Airlines, Mr. Masaru Onishi, Executive Vice President & Group CEO, Industrial Finance, Logistics & Development Group Mitsubishi Corporation, Mr. Hideshi Takeuchi, and Jetstar Group Chief Executive Officer, Mr. Bruce Buchanan.

JAL President Mr. Onishi said the partnership with Jetstar is a two-airline strategy that will allow the Japanese carrier to competitively serve a larger part of the Japanese market.

“It will encourage even more movement of people within the country and also increase the number of visitors from Asia to Japan,” said Mr. Onishi.
Jetstar was the first low fares airline to enter Japan in 2007, and has already carried more than two million customers between Australia and Japan.