A Qantas Airways Airbus A380 plane takes off in Sydney. Australia’s Qantas Airways is setting up two new airlines in Asia and ordering $9bn of new Airbus aircraft as part of a do-or-die makeover to salvage its loss-making international business. Qantas will also cut 1,000 jobs in Australia as it shifts its focus to the world’s fastest-growing aviation market, triggering threats by unions to block the move and a government pledge to scrutinise the plans. Qantas, which has been reviewing its offshore operations to cut costs and unprofitable routes, said it will launch a new, premium Asian airline and a Japanese budget carrier, the latter jointly with Japan Airlines and Mitsubishi Corp. The new airlines will fly Airbus A320 jets, cementing their reputation as the plane of choice on regional networks over archrival Boeing Co Qantas, which also flies Boeing’s best-selling 737 narrowbodies, plans to acquire up to 110 of the Airbus planes, worth more than $9.4bn. As Qantas rebases its loss-making international operations in Asia, it also plans to give up some of its long-haul routes and retire older planes as well as cut jobs.
