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Air Vanuatu is an airline with its head office in Air Vanuatu House, Port Vila, Vanuatu. It is Vanuatu's national flag carrier, formerly operating to Australia, New Zealand, New Caledonia and points in the Oceania. Its main base is Bauerfield International Airport, Port Vila. In May 2024 operations ceased with the airline placed into liquidation by the Government of Vanuatu. Limited domestic services resumed in August 2024.
In 1987, the company was re-established with 100% ownership by the government of Vanuatu, after a new commercial agreement was signed with Australian Airlines; weekly Sydney – Port Vila flights re-commenced on 19 December using a Boeing 727-200 air charter from Australian. Air Vanuatu subsequently bought the aircraft in 1989 and leased it back to Australian for use on that airline's network on days that it was not used by Air Vanuatu. In November 1992 the 727 was replaced by a Boeing 737-400 leased from Australian Airlines. The following year an Embraer EMB 110 Bandeirante was also leased from Australian, entering service that April to operate flights between Port Vila and Nouméa. The leases on both aircraft continued after Australian was taken over by Qantas in October 1993, with the commercial agreement being rolled-over to Qantas as well.Reid, Gordon. "Major Airline Directory", Australian Aviation magazine, No. 96, May 1994, p75. Aerospace Publications Pty. Ltd., Weston Creek ACT. Qantas would be deeply involved in the airline's operations for the rest of its existence; Air Vanuatu used the Qantas Frequent Flyer program, while Qantas codeshared on Air Vanuatu's flights from Australia, and provided maintenance and pilot training services as well.
Air Vanuatu terminated the lease on the Qantas Boeing 737-400 after it took delivery of its own Boeing 737-300 in April 1997. The same month Bandeirante services ceased when a Saab 2000 entered service.Reid, Gordon. "Major Airline Directory", Australian Aviation magazine, No. 150, May 1999, p50. Aerospace Publications Pty. Ltd., Weston Creek ACT. The lease on the Saab 2000 was terminated in March 1999, and in June that year Air Vanuatu began using a de Havilland Canada Dash 8 from Vanuatu's government-owned domestic carrier Vanair on weekly services to Nouméa.Reid, Gordon. "Major Airline Directory", Australian Aviation magazine, No. 161, May 2000, p56. Aerospace Publications Pty. Ltd., Weston Creek ACT.
In January 2008, Air Vanuatu replaced its Boeing 737-300 with a new Boeing 737-800. Three Harbin Y-12s were added to the fleet in early 2009, and in October the same year the airline took delivery of a new ATR 72–500 aircraft to replace its ATR 42. Four days after the ATR 72 arrived at Port Vila, the Board of Air Vanuatu was sacked and replaced by Directors General of various Vanuatu government ministries. The ATR 72 made its first revenue flight for Air Vanuatu on 8 November 2009.Garae, Len. "ATR-72, a touch of international class" – Vanuatu Daily Post Online retrieved 13 November 2009 A second ATR 72–500 was delivered to the airline in November 2014.
In 2016 the Harbin Y-12s were phased out and replaced by de Havilland Canada DHC-6 Twin Otters.
In July 2020, Air Vanuatu announced a major set of changes for the airline due to the COVID-19 pandemic. With the reshuffling of orders and the shrinking and localization of the management team, the CEO Derek Nice stepped down, being temporarily replaced by Joseph Laloyer, until a replacement could be found. This included delaying the delivery of the four Airbus A220 aircraft it had on order, and a strategic review of its network. Air Vanuatu Cancelling A220 Order To Focus On Domestic Fleet Expansion Smart Aviation Asia Pacific 10 June 2022
In May 2024 the airline was placed into liquidation with EY appointed as liquidator. Due to the collapse of Air Vanuatu, 1,458 Vanuatuan seasonal workers were left stranded in New Zealand. Immigration New Zealand confirmed that it was working with employers to support the workers. The airline owed creditors US$74 million. Air Vanuatu owes creditors at least $120m, has sole international aircraft repossessed Stuff 16 May 2024 At the time of being placed in administration, it had six aircraft and 441 employees across Vanuatu, Australia and New Zealand. Its biggest aircraft, a leased Boeing 737, was repossessed in Melbourne. It had also been reported that only two of the airlines' aircraft remained operational, due to awaited maintenance for the remaining fleet, while the available financial information of the company was deemed "significantly out of date."
On 22 May 2024, Solomon Airlines began weekly direct flights between Auckland Airport and Port Vila to fill the gap left by Air Vanuatu.
In August 2024, limited domestic services resumed after an injection of funds by the Government of Vanuatu. Air Vanuatu to resume domestic services after $3 million injection ABC News 29 July 2024 Air Vanuatu to bring back some flights this week Australian Aviation 6 August 2024 Air Vanuatu's ATR returns to the skies Australian Aviation 26 August 2024
Air Vanuatu operated 28 domestic routes throughout the country.
Previously, in January 2023, Air Vanuatu operated scheduled flights to the following international destinations:
| Debrief Australian Aviation March 2019 page 12 |
| ATR 72-600 | 1 | 1 | — | 70 | 70 | (as of August 2025) |
| Britten-Norman BN-2 Islander | 1 | — | — | 9 | 9 | |
| de Havilland Canada DHC-6-300 Twin Otter | 3 | — | — | 19 | 19 | (as of August 2025) |
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