Japan Airlines Corp., Mitsubishi Corp. and Australia's Qantas Group announced Tuesday they will jointly launch a low-cost carrier in Japan, aiming to boost their competitiveness in the market here amid an influx of budget carriers.

Jetstar Japan Co. plans to start domestic service by the end of 2012, flying from Narita International Airport and Osaka's Kansai International Airport, but it isn't known yet which hub will serve as its base.

Prospective destinations include Sapporo, Fukuoka and Okinawa, the three companies said.