Thai Air to raise fares as fuel costs soar and demand surges

[BANGKOK] Thai Airways will raise ticket prices by 10 to 15 per cent to offset surging fuel costs.

This comes as the state-controlled carrier grapples with “overwhelming” demand from its customers shifting travel plans from the Middle East to Europe, said chief financial officer Cherdchom Therdthirasak.

Most of the carrier’s flights to Europe in March reached about 90 per cent of seat capacity, she said in an investor video conference on Wednesday (Mar 11). She added that Thai Air has room to raise the fuel surcharge further if oil prices continue to climb.

“Passengers planning to travel should secure their tickets as soon as possible before fares rise further,” Cherdchom said. “Over the next two weeks, tickets will be extremely limited across both European routes and other destinations.”

Airlines are under mounting pressure from higher jet fuel prices, one of the industry’s largest operating costs. This comes as crude oil remains volatile amid the Middle East conflict, which is threatening supply.

Carriers have responded by raising fares and fuel surcharges, testing travellers’ willingness to absorb higher ticket prices even as international travel demand remains resilient.

She said that it was too early to give an outlook for second-quarter passenger demand, because of the volatile situation in the Middle East.

Thai Airways posted a full-year net income of 30.9 billion baht (S$1.2 billion) in 2025, reversing a net loss of 26.9 billion baht in 2024.

Its revenue rose 1.3 per cent to 190 billion baht, indicating a more gradual recovery from a court-supervised debt restructuring initiated during the pandemic. BLOOMBERG