Qantas to begin phased retirement of Boeing 737 fleet in late 2026

Qantas is allocating AUD 12.8 billion to overhaul its fleet as it prepares to retire its Boeing 737 aircraft, with the phased withdrawal set to start in late 2026 driven by the arrival of next‑generation Airbus narrow‑bodies.

The airline expects a temporary surplus of main‑line 737 captains and first officers while its total aircraft count grows, and it projects roughly 300 pilot retirements over the next five years. In FY26 Qantas delivered 29 aircraft—including six A321XLRs for mainline service and five A220‑300s for Qantaslink—expanding the group fleet to 372 aircraft, and 737 flight schedules will be dialed back, reducing flying hours in Q1 2027.