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International passenger movements through Melbourne Airport have hit reverse gear after falling 7.1 per cent in April compared to a year earlier due to a 67.6 per cent drop in seat capacity from the Middle East.
The sharp reversal comes just one month after the airport set an all-time March record of one million international passengers - a 6.9 per cent year-on-year increase.
In a major setback for Melbourne Airport, April also saw domestic passenger numbers fall by 1.4 per cent to 2.055 million compared to April last year.
The airport handled 953,595 international passengers in April, down from 1.026 million in April 2025.
Combined with the fall in domestic travellers, this led to a 3.3 per cent drop in overall passenger numbers to three million during the month.
Despite the April setback, financial-year-to-date international passengers remain 3.7 per cent ahead of the prior corresponding period at 10.48 million.
Melbourne Airport CEO Lorie Argus says the Middle East disruption has been partially offset by rising demand via South-East Asian hubs as well as growth from China and North America.
However, Argus also called on the federal government to reinvest Passenger Movement Charge revenue into border processing technology to handle shifting traffic patterns.
“We’re investing $7.5 billion dollars of private money to deliver a third runway and expand Melbourne’s international terminal to cater for growing demand and improve the experience for passengers,” she says.
“As we modernise our airport, we will continue partnering with the federal government to modernise the border and invest in technology that can deliver a faster, more seamless arrival experience for international travellers.
“Our international passenger numbers have doubled in the past 10 years but our Border Force kiosk numbers have remained the same, and the international arrivals experience has become one of our biggest passenger pain points.”
The first phase of Melbourne Airport’s international terminal expansion project will open later this year with a state-of-the art new baggage system and new pick-up and drop-off locations for Terminals 1, 2 and 3.
Argus says this will allow the airport to start pushing the terminal footprint out into the current forecourt and across the existing departures ramp.
“Even with the current global uncertainty, we know we need to invest in the future and build for the long term,” says Argus.
“Flights from the Middle East are progressively returning and schedules are stabilising, with Emirates now flying twice a day between Melbourne and Dubai and Qatar Airways operating double daily flights to Doha from June.
“While this is down on what was being flown before the Middle East conflict began, it represents a welcome return of stability to operations through some of our most important global hubs.”
Melbourne Airport's trajectory before the conflict was firmly upward.
December 2025 was its busiest month on record with 3.42 million total passengers, including a then-record 1.22 million international travellers for the month.
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