AirAsia and more specifically, AirAsia X, is dropping its flight route between KL and Sydney. In doing this, low-cost carrier will redeploy the freed flight capacity to other cities within Australia.
AirAsia has blamed “increased cost pressured, softer demand, and the need to strategically align the airline’s network and fleet”. In return to axing the flight route, the carrier will increase the number of flights to Melbourne and Perth.

AirAsia restarted its KL to Sydney flights in 2022, just as COVID-19 restrictions around the world began to relax and eventually scrapped them when global vaccination rates and immunity reached acceptable levels. The move also means that flag carrier Malaysia Airlines (MAS) remains relatively unchallenged, with Batik Air being the only other option, and the practically the only remaining Malaysian low-cost carrier to maintain a route between KL and Sydney.
On a related note, even Turkish Airlines is expected to switch its Sydney-Istanbul layover from KL to Singapore in October this year, signalling a shift from KL as a transit hub. More importantly, this also means one less option for travellers looking for cheaper flights into the Australian city, with MAS typically charging a premium for their flights.

“This has been an incredibly difficult decision, and one that has not been taken lightly. Sydney, which was launched back in 2012, has played an important role in our history and in connecting Australians with Malaysia and the wider region,” Benyamin Ismail, General Manager of AirAsia X, said.
“The current operating environment requires us to make some tough choices. By accelerating the retirement of older, less fuel-efficient widebody aircraft and adjusting our network, we are taking the necessary steps to build a more resilient and commercially sustainable operation for the future.”
(Source: Australian Aviation)

