Indonesia AirAsia X – the budget long-haul carrier and joint venture between the Malaysian-based AirAsia and Indonesia AirAsia will be ending operations on January 2019.
“With the challenging operational environment in Indonesia, primarily due to the series of natural disasters that occurred in proximity to Bali, the company is underway to evaluate the available options for our Indonesian associate to ensure sustainability of the company with the last scheduled flight from Bali to Narita will end in January 2019,” said AirAsia X group CEO Nadda Buranasiri.
The long-haul arm operated flights from Denpasar (Bali) to Tokyo and Mumbai using Airbus A330 aircraft. Flights to Mumbai ended in April this year, leaving Tokyo as the carrier's only route. It also operates domestic flights from Jakarta to Bali and Surabaya in lieu for Indonesia AirAsia’s flights using Airbus A320 aircraft.
After ending services in January, the carrier will operate flights on a non-scheduled commercial basis. During the third quarter of the year, the company posted a net loss of USD $1.53 million attributed to a 34% increase in operating costs such as fuel. It also saw a 32% decrease in passengers carried.
Beyond January 2019, Indonesia AirAsia will take over the domestic routes and slots that Indonesia AirAsia X has been using.