Indonesia AirAsia axes Adelaide and Melbourne flights

By Andrew Curran.

14.45 AEST. May 18, 2026. Updated with comments from Adelaide Airport.

07.25 AEST. May 19, 2026. Updated with comments from Melbourne Airport.

Indonesia AirAsia is ending its flights to Adelaide (ADL) and Melbourne (MEL) in mid-June. The low-cost carrier says the current operating environment means the routes are no longer viable.

Indonesia AirAsia began flying between Denpasar (DPS) and Adelaide in June 2025. Its flights between Denpasar and Melbourne only started in March.

“This decision has been made in response to the sustained increase in global jet fuel prices caused by the ongoing geopolitical uncertainty in the Middle East,” said Indonesia AirAsia General Manager Achmad Sadikin Abdurachman.

“This operating environment has led to the need to refocus our network on routes that remain operationally viable at this time.”

AirAsia’s jet fuel prices have more than doubled since February, heavily impacting the airline’s operations and profitability.

The final flights will operate on June 17 and 18, 2026. Services to Indonesia AirAsia’s other Australian destination, Perth (PER), are unaffected by this announcement.

Indonesia AirAsia’s sibling carriers, AirAsia and AirAsia X, will continue flying to Australia and are unaffected by the news. AirAsia will maintain its flights to Perth from Kuala Lumpur (KUL), while AirAsia X services to Sydney and Melbourne will continue.

Second AirAsia shakeout of Australian routes this year

This year has heralded the end of several short-lived services to Australia by the various AirAsia carriers. In March, Indonesia AirAsia and AirAsia axed their flights to Darwin (DRW) from Kuala Lumpur and Denpasar. Those flights had only operated for 12 months.

Both the Darwin and Adelaide flights from Denpasar were launched with assistance from the Northern Territory and South Australian Governments. The Northern Territory Government made clear its displeasure at subsidising such short-lived services.

Jetstar continues to fly between Darwin and Denpasar, but the Kuala Lumpur route is now unserved.

At the same time as ending its Darwin flights, various AirAsia services to its other Australian ports were improved in what the company called “network enhancements”. This included, briefly, increasing the Denpasar–Adelaide round-trips from four to seven per week.

The South Australian Government has not commented on the loss of the Indonesia AirAsia flights. However, government assistance often operates on 12-month timeframes, and the mid-June end date aligns with this.

In a statement, Adelaide Airport said Indonesia AirAsia had provided a "great service and low fares" since they started flying in.

"We would love to see Indonesia AirAsia return once aviation fuel prices normalise and operating conditions become more favourable, and we will continue to work with them with the aim of resuming the Adelaide-Bali service," the statement reads.

Indonesia AirAsia’s flights to Melbourne Airport started without any government assistance.

Bali routes remain highly competitive

“Launching new routes involves responding to market opportunities at a point in time,” AirAsia’s website reads. “Travel demand patterns can change due to economic conditions, travel behaviour, and competition.”

Indonesia is Australia’s fourth busiest outbound market, according to Australian Government data. In calendar 2025, 4,543,194 passengers travelled between the two countries, mostly Australians heading to Bali for holidays.

Of that, 244,443 passengers flew on the Adelaide–Denpasar city pair, while 1,135,270 passengers travelled on the Melbourne–Denpasar city pair, making it the fifth busiest international air route in the Australian market.

Indonesia AirAsia’s exit from the Adelaide–Denpasar route leaves Jetstar as the sole operator, with that airline operating twice-daily A320neo round-trips during the upcoming southern winter season.

Competition is fiercer on the Melbourne–Denpasar city pair, with Jetstar, Qantas, Garuda Indonesia, Virgin Australia, and Batik Air Indonesia all vying for business and flying up to nine times per day

"We are disappointed by Air Asia Indonesia’s decision to suspend flights from Melbourne and the impact this will have on travellers," a Melbourne Airport spokesperson said.

AirAsia says Australia remains important market

“We continuously review our network and will reassess these routes should market conditions change and demand support a return in the future,” AirAsia’s website reads.

AirAsia says it remains focused on operating a strong, sustainable network in Australia.

“AirAsia remains committed to the Australian market,” it says.

Indonesia AirAsia’s final flights to Adelaide and Melbourne will depart on June 17, with the return services to Denpasar operating on June 18.

Photo: AirAsia.

Contact the writer: andrew@aerosouthpacific.com