Virgin Australia will to stop operating daily flights between Cairns and Tokyo from February next year.
The airline said the decision was made because of the slow post-COVID recovery of visitors to Australia from Japan and the depreciation of the Yen, against the Australian dollar.
Virgin Australia Chief Transformation and Strategy Officer Alistair Hartley said inbound visitors travelling from Japan to Australia remained up to 35 percent below pre-COVID levels.
Mr Hartley said the Yen was now about 40 percent lower than during 2019, significantly increasing the cost for a Japanese traveler to visit Australia.
He said less than 2000 booked passengers would be impacted when the flights stopped on February 24, and all would receive full refunds.
“Customers who booked through a travel agency or third-party booking website are encouraged to contact them to request a refund and to make alternative travel arrangements.”
Mr Hartley said Virgin Australia customers would continue to have access to up to 17 services each week between Australia and Japan with the airline’s partner, All Nippon Airways (ANA).
“Through ANA, Japanese travelers will also continue to have direct access to popular Australian tourist destinations, including Cairns and Far North Queensland.”