AirAsia Group has reportedly informed aviation authorities in Japan it plans to cease operations of the AirAsia Japan joint venture.
According to Nikkei Asia, AirAsia will confirm it is pulling out in the coming days.
The airline will then be closed down, it reported, citing a source.
AirAsia Japan is based at Nagoya Chubu Centrair International Airport with two aircraft deployed there.
It is not a surprise as there has been speculation for weeks AirAsia was mulling ending its Japan operations.
AirAsia has 66% equity in the business in partnership with local firms including e-commerce giant Rakuten.
AirAsia Japan was launched in 2017 although a previous Japan joint venture failed with All Nippon Airways.
Written by Ray Montgomery, Asia Editor
