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Regional Airlines (REX) will launch its first coast-to-coast flights, with a direct service between Melbourne and Perth . The airline will fly five times a week, aiming to increase competition on one of the world’s most lucrative routes. The new service will begin on June 28.

Know the news with the 7NEWS app: Download today One-way economy fares are starting from $299, undercutting Qantas ($479 on the same day), and sitting around the same price point as Virgin ($269) and Jetstar ($262). Bags and food cost extra on the latter two airlines. A one-way business class fare with Rex starts at $999, around 50 per cent cheaper than Qantas and Virgin for arguably a very similar service.



Rex’s general manger of network strategy, Warwick Lodge, announced the new route at Melbourne Airport’s Terminal 4 check-in on Friday. “Rex has a motto that our heart is in the country, and today we’re connecting one side of the country to the other,” Lodge said. Almost in response, Jetstar launched a three-day sale on flights from Perth.

Rex has nine Boeing 737 aircraft with another two on the way, potentially opening up more coast-to-coast capacity. “Melbourne to Perth has around 1.9 million passengers per year,” Lodge said.

“Rex will be adding around 90,000 seats.” Flight Centre’s James Kavanagh told 7NEWS: “International airfares are starting to come down and if we look at the last quarter they’ve dropped around 13 per cent, but domestic fares have not dropped at all.” .

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