Perth, Australia – Qantas and Perth Airport have reached an historic commercial agreement which will unlock a multi-billion-dollar wave of investment and deliver new international and domestic flights, giving a major boost to Australia’s tourism industry.

As part of the 12-year agreement, Perth Airport will invest around $3 billion in new terminal facilities and a new parallel runway which will generate immediate and ongoing economic growth and job creation.

This will form part of a $5 billion capital investment programme by Perth Airport – the largest ever private infrastructure development in Perth – which will also deliver two multi-storey carparks, major access roadworks, and the airport’s first hotel.

Qantas and Jetstar will relocate all services to a new terminal in the Airport Central precinct that will, along with the airline’s major investment in new aircraft, enable the growth required to turn Western Australia into a major domestic and international hub for the airlines.

Qantas and Jetstar plan to add 4.4 million seats to and from Perth per annum by the time the new terminal opens in 2031.

The hub will significantly enhance inbound tourism and give Australians more options when travelling to Asia, Africa, India and Europe.

The new terminal is set to offer passengers a world-leading travel experience, with seamless domestic and international transfer, as well as state-of-the-art check-in and bag drop facilities. Qantas will work with Perth Airport on plans for a multi-lounge precinct for international and domestic passengers with a new signature design and bespoke dining and wellness initiatives.

As part of the agreement, Qantas plans to build a new engineering hangar in the Airport Central precinct.

Perth Airport will also invest in upgrades to Terminals 3 and 4, the current home of Qantas domestic and international flights, to create additional capacity while the new terminals are built. Jetstar will relocate its domestic services to Terminal 2 from September 2024, unlocking further growth opportunities for both airlines, before moving into the Airport Central terminal when complete.

The Terminal 3 and 4 upgrades will enable Qantas to add services and more destinations from Perth, including Auckland and Johannesburg from mid-2025, subject to meeting border agency requirements. The works will also include gate upgrades to accommodate ultra-long-haul aircraft, including its Project Sunrise Airbus A350s which arrive from 2026.

Qantas and Perth Airport have also agreed on the need for and timing of the new parallel runway which is expected to be open in 2028.

Delivery of the new runway will enable further growth for the critical resources sector and future-proof aviation in Western Australia.