BANGKOK – Thailand’s Civil Aviation Board has approved a sharp rise in the passenger service charge, commonly known as the airport tax, for international departures. The fee will increase by 53%, from 730 baht to 1,120 baht per passenger, starting in early 2026.
The higher charge will apply at six major airports run by Airports of Thailand Plc (AOT): Suvarnabhumi, Don Mueang, Phuket, Chiang Mai, Hat Yai, and Chiang Rai. Transport Minister Phiphat Ratchakitprakarn revealed the decision on 3 December 2025, presenting it as part of a wider effort to upgrade Thailand’s aviation facilities as travel rebounds after the pandemic.
The move is meant to support growth and keep Thailand competitive as a regional air hub. At the same time, it raises concerns over higher travel costs for airlines and passengers, and the possible impact on tourism, one of the country’s main economic pillars.
Board Approves Major Fee Rise To Fund Airport Upgrades
The Civil Aviation Board approved AOT’s proposal at a recent meeting chaired by Minister Phiphat. The six affected airports together serve around 35 million international passengers each year, making them central to Thailand’s air traffic.
Suvarnabhumi Airport alone handled more than 45 million passengers in 2024, based on AOT’s latest reports. It is the country’s main gateway and already operates close to capacity during peak periods.
The new passenger service charge will continue to be included in airline tickets, so travellers will not pay at the counter. However, the higher fee will push up total fares for outbound international flights. Domestic flights are not affected and will keep the current 130 baht rate.
“This adjustment is essential for lifting our airports to world-class standards,” Phiphat said after the meeting. He stressed that the extra income is needed to improve safety systems and passenger comfort, and to cope with rising operating costs such as security technology and expanded terminals.
AOT executives share that view. Paweena Jariyathitipong, AOT’s Director General, told Kaohoon International that the increase should generate about 10 billion baht a year in additional revenue. That money will help fund key projects, including the South Terminal expansion at Suvarnabhumi.
This expansion is planned as a step-by-step project to be completed around 2028 and is expected to add capacity for a further 30 million passengers a year. The aim is to relieve long-standing congestion that has affected the airport since it opened in 2006. “We’re not just raising fees, we’re building a future where Thailand can compete directly with Singapore’s Changi or Hong Kong’s main airport,” Paweena said.
Investors reacted quickly. AOT’s share price jumped 11% to 52.75 baht on the Stock Exchange of Thailand the morning after the announcement, according to The Thaiger.
Analysts at JPMorgan raised their rating on AOT from Underweight to Neutral and set a price target of 49 baht per share. They projected a rise of 50% to 55% in earnings per share for 2027 and 2028, helped by higher passenger fees, as reported by Investing.com. The size of the fee increase was larger than many in the market had expected, since forecasts had pointed to an extra 300 to 350 baht.
The change cannot take effect overnight. AOT still has to gather feedback from stakeholders, gain formal approval from the minister, and publish a four-month public notice before the new rate can be applied. This timeline points to an introduction in early 2026.
Smaller airports controlled by the Department of Airports will see a more modest rise. For example, Trang and other regional airports will lift their international passenger charge by 25 baht, from 400 to 425 baht, according to Nation Thailand.
Tourism At A Crossroads: Long-Term Gain Or Short-Term Pain?
Thailand welcomed 39.8 million visitors in 2024, and tourism generated around 1.8 trillion baht in revenue. That recovery has been vital for hotels, restaurants, and local businesses across the country.
The new airport tax could add pressure. The extra 390 baht (around 11.50 US dollars) per international passenger may seem small for premium travellers, but it matters more for budget-conscious tourists, backpackers, and families. These groups form a large share of Thailand’s mid-range tourism market and often compare prices with destinations such as Vietnam or Indonesia.
Industry groups are split on the change. The Tourism Council of Thailand (TCT) supports the upgrades, arguing that better airports can attract higher-spending visitors in the long run. In a Bangkok Post op-ed, the council said that smoother airport operations and improved comfort can encourage repeat visits and raise average spending.
TCT Chairman Kris Butler pointed to Phuket as an example. The island recorded a 15% increase in visitors last year, helped partly by new lounges and better waiting areas at the airport, which were early signs of broader investment.
Budget-focused airlines take a different view. Low-cost carriers such as AirAsia and Nok Air, both of which have strong operations at Don Mueang, warn that the higher charge will push fares up across many routes.
“This isn’t just a tax, it’s a multiplier on every ticket,” an AirAsia representative said in an ASEAN Now forum thread. The thread featured complaints from expats and regular visitors, who argued that Thailand is gradually adding more and more charges to trips.
Figures from the Tourism Authority of Thailand (TAT) highlight the possible risk. In 2023, a small increase of 30 baht in the passenger service charge coincided with a 2% drop in bookings from Europe, based on internal TAT data. That link is not the only factor behind the decline, but it shows that price increases can influence demand.
Tourism is deeply woven into Thailand’s economy. Travel and tourism account for around 20% of GDP, and about 5.5 million people work in hospitality and related sectors. TAT had forecast about 40 million international arrivals for 2025. Aviation consultants now warn that higher ticket prices, rising by an estimated 5% to 7%, could weigh on that outlook.
Other countries in the region are also competing hard. Kuala Lumpur International Airport in Malaysia has reduced some landing fees to attract more flights. Cambodia has offered visa waivers for some visitors to draw extra arrivals to Siem Reap and other cities.
Supporters of the Thai airport tax rise argue that the benefits will show over time. The extra 10 billion baht each year could help pay for greener technologies and smarter operations, such as solar panels on terminal roofs and AI-based baggage systems. These upgrades would fit into Thailand’s “Bio-Circular-Green” economic strategy.
Chiang Mai Airport, which often struggles with fog and weather-related disruption, could gain from better navigation tools. These systems would reduce delays and cancellations that worry wellness tourists and other high-value visitors who travel on tight schedules. For AOT, the message is simple: invest now to secure stronger growth later. Phuket’s planned expansion, with features inspired by its marine setting, is geared towards sustainable luxury tourism and longer stays.
Reactions On The Ground: Passengers And Airlines Speak Out
At Suvarnabhumi’s busy departure halls, travellers are already forming opinions. Some see the increase as yet another cost added to their trips.
“It’s frustrating, another extra charge when flights and hotels are already pricey,” said Sarah Lim, a shopper from Singapore heading home after a weekend break.
Others appear more relaxed about the change. German retiree Hans Mueller told reporters, “If it leads to shorter queues and better facilities, I don’t mind paying a bit more. Thailand is still special for me.”
Airlines are also adjusting their plans. Thai Airways, which has close ties to the state, is looking at ways to soften the impact through loyalty rewards and promotions. Foreign carriers such as Emirates are reviewing routes and pricing to keep loads healthy while covering extra costs.
Online travel forums are full of tips and reactions. Regular visitors suggest booking early, choosing package deals that bundle taxes and fees, or flying on quieter days of the week when base fares tend to be lower. Many say they will keep coming to Thailand, but some are starting to track total trip costs more closely.
What Comes Next: Growth Targets And Public Expectations
Thailand is working towards its aviation masterplan for 2028, which sets an ambitious target of handling 140 million passengers a year across its key airports. The higher airport tax is one of the tools meant to fund the upgrades needed to reach that scale.
Public trust will depend on how clearly AOT shows where the extra money goes. Travellers are likely to accept higher fees if they see real improvements, such as faster security checks, more seating, free and reliable Wi-Fi, cleaner restrooms, and more local food and culture on display in terminals.
Early signs point in a positive direction. AOT reported an 8% rise in customer satisfaction scores in 2024, helped by changes such as better signage, more check-in desks, and improved cleaning schedules. Supporters of the increase argue that the new revenue can build on that progress.
Critics call for safety nets to protect visitor numbers. TAT has floated ideas such as tourism rebates or reduced visa fees for certain markets to offset part of the higher airport charges. International groups like the International Air Transport Association (IATA) encourage Thailand to compare its fees with global peers and keep charges in line with service quality.
Thailand’s new airport tax rate for international departures will still sit below some regional rivals. Singapore, for instance, charges passengers more than 20 US dollars in total airport fees on many tickets. That gap gives Thailand some room to adjust policy in the future if needed.
In the end, Thailand faces a delicate choice. Stronger airports can support growth and keep the country attractive as a transit and holiday hub for travellers from India, Europe, China, and Australia.
If higher costs bite too hard, some visitors may switch to cheaper alternatives. If the upgrades are clear and meaningful, many may decide that the extra 390 baht is a fair price to pay for a smoother trip.
As 2026 approaches, Thailand’s aviation sector is on the verge of a significant shift. The challenge is to expand capacity and raise standards without losing the warmth and value that keep tourists coming back.
