P&O Australia to be absorbed into Carnival Cruise Line

Carnival Corporation will sunset its P&O Cruises Australia brand and fold the operations into Carnival Cruise Line, according to a press release.

P&O Cruises Australia will cease its operations in 2025 after more than 90 years on the water.

P&O's Pacific Encounter and Pacific Adventure ships and workforce will be rebranded and transferred to the Carnival’s fleet, while the Pacific Explorer, previously known as the Dawn Princess, will be retired, the company said. 

This change is the latest in a series of moves designed to increase guest capacity for Carnival Cruise Line.

The move will result in the addition of eight new ships to Carnival Cruise Line’s fleet since 2021, including the successful shift of three vessels from sister brand Costa Cruises.

In addition, the company recently placed its first new ship order in half a decade for two new Excel-class cruise ships to join Carnival Cruise Line in 2027 and 2028.

"Despite increasing Carnival Cruise Line's capacity by almost 25% since 2019 including transferring three ships from Costa Cruises, guest demand remains incredibly strong so we're leveraging our scale in an even more meaningful way by absorbing an entire brand into the world's most popular cruise line," said Josh Weinstein, chief executive officer of Carnival Corporation & plc, in a release.

"In 2019, Carnival Cruise Line was 29 per cent of our total capacity, and when we complete this move early next year, Carnival Cruise Line – our highest-returning brand – will make up approximately 35 per cent of our total global capacity. While our company's overall growth between 2019 – 2028 is projected to be less than two per cent (CAGR), the majority will be for Carnival Cruise Line, which will grow by approximately 50 per cent over that time period."

The realignment is also aimed at strengthening Carnival’s performance in the South Pacific.

"P&O Cruises Australia is a storied brand with an amazing team, and we are extremely proud of everything we have accomplished together in Australia and the broader region," said Weinstein. "However, given the strategic reality of the South Pacific's small population and significantly higher operating and regulatory costs, we're adjusting our approach to give us the efficiencies we need to continue delivering an incredible cruise experience year-round to our guests in the region.”

“Carnival Corporation & plc remains committed to Australia and we will continue to be the largest cruise operator in the region with 19 ships calling on 78 destinations and representing almost 60 per cent of the market."

State of current P&O itineraries

Current P&O itineraries will operate business as usual, and guests will be notified in the coming days of any changes to future bookings as a result of this announcement, the company said.

When the transition is complete next year, Carnival Cruise Line – which has served the South Pacific since 2013 – will have four ships in the market, including Sydney-based Carnival Splendor and Carnival Luminosa sailing seasonally from Brisbane, in addition to their new sister ships Encounter and Adventure.

"Over the coming months, we will find ways to celebrate and honour P&O Cruises Australia – a valued part of our legacy and an important contributor to the tourism industry in the South Pacific," said Weinstein. "We value the connection our P&O Cruises Australia guests, employees, travel advisor partners, public officials and destinations have with our company and are committed to building on this association moving forward as Carnival."

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