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Hong Kong Airlines challenges duopoly in Melbourne

written by Adam Thorn | July 28, 2025

Hong Kong Airlines A330 (Airbus)

Hong Kong Airlines is set to challenge Cathay and Qantas by launching a daily flight from Melbourne.

The service, which is set to launch in December, will operate using Airbus A330s and add 93,000 seats between the two cities.

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It comes after the Commonwealth government last year authorised increasing passenger capacity for Hong Kong to 84 flights per week, up from 70, and with no limits on cargo services.

Cathay currently flies 19 times per week between Melbourne and Hong Kong using its 777s and A350s, while Qantas operates one daily flight using A330s.

“Hong Kong is one of the largest international markets for us at Melbourne Airport, so I expect there will be strong demand for the service,” said Lorie Argus, chief executive of Melbourne Airport.

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Hong Kong Airlines last month also commenced a daily service from Sydney, meaning the challenger carrier now flies to 30 destinations in the Asia-Pacific region and more than 100 globally, including a seasonal service to the Gold Coast.

The news that Hong Kong Airlines will become the 39th international carrier to be based in Melbourne comes alongside the airport’s revelation that it had recorded its best-ever financial year for international passengers.

During FY25, Melbourne welcomed a record 11,953,000 international travellers despite domestic numbers still being below pre-COVID levels.

“Since the pandemic, we are seeing people prioritising travel and connections as essential parts of their family budgets, and today’s financial year numbers reflect that,” Argus added.

Last month, Australian Aviation reported that more than a million fewer international travellers visited Australia in 2022 compared to 2019, the pre-pandemic year, according to the latest government figures.

New research from Tourism Research Australia has revealed that, despite the decrease, spending by the 8.3 million visitors reached a record $32.9 billion, driven in part by overseas students and backpackers.

“In 2024, Australians continued to prioritise travel and demand for domestic trips remained high, particularly short trips close to home,” Grant Ferres, head of Tourism Research Australia, said.

“However, overall growth was muted and travellers adjusted spending patterns in light of household financial pressures. On the international side, there was continued growth in arrivals from many source markets, with key markets in our region standing out.”

Key statistics outlined in TRA’s ‘Australia’s visitor economy in 2024’ include that Australia’s visitor economy welcomed 15 per cent more international visitors than in 2023, hosted more domestic overnight trips, and sustained a record high number of filled tourism jobs and tourism businesses.

You can read the report in full here.

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