Between 1940 and 1945, the No. 7 Elementary Flying School was established at Western Junction Aerodrome, becoming the first RAAF training school on site. During this time, around 1,800 pilots were trained, playing an important role in Australia’s wartime aviation efforts. After the school closed in 1945, the aerodrome returned to civil operations the following year.

The airport continued to grow and evolve. In 1948, the runway was upgraded to support regular DC-4 aircraft, paving the way for larger and more frequent flights.

In 1957, Australian National Airways (A.N.A) was purchased by Ansett and began operating as Ansett-ANA. This name remained until 1968, when the airline officially became known simply as Ansett.

Planning for a more modern airport began in 1961, with investigations into how the aerodrome could be developed further. By 1962, a parallel taxiway and related works were completed, and that same year, the Federal Government gave in-principle support for a major redevelopment. The following year, approval was granted to strengthen the pavements, extend the runway to handle Boeing 727 aircraft, and construct a new terminal along with additional facilities.

All of this came to life in 1965, when development was completed and a brand-new terminal opened at Western Junction. With that, the airport was officially renamed Launceston Airport — a proud milestone in Tasmania’s aviation journey. In 1966 "Miss Flinders" VH-UEE Desoutter MK11 was on display in the terminal until 1997.