In Ho Chi Minh City, the recent surge in domestic airfare prices has provoked public concern, prompting calls for a detailed review of the aviation sector’s fees and charges.

Citizens are pushing for a rigorous analysis to determine if the inflated ticket prices are justifiable based on the airlines' actual operational costs.

The Ministry of Transport (MOT) acknowledges these concerns, citing Circular No. 17/2019/TT-BGTVT, which outlines domestic air service pricing guidelines.

This circular specifies that airfares include passenger transport service fees, value-added tax, and fees for passenger terminal and security services (including passenger and luggage security). It also includes costs for additional services as determined by the airlines themselves.

Analysis from the Civil Aviation Authority of Vietnam, using data from Vietnam Airlines and Vietjet Air, indicates that major flight costs in 2023 were primarily fuel (37-42%), aircraft leasing and maintenance (32-41%), and ground services and flight operations (6-7%). Other costs, including personnel, ticket sales, and administration, made up about 16-19%.

"The expenses related to ground and flight operations represent a minor portion of the total costs and have had little impact on the price increases. The prices for most services regulated by Circular No. 53/2019/TT-BGTVT have remained stable for an extended period without adjustments," the MOT explained.

Despite these assurances, the average price of economy class tickets on several domestic routes has risen since early 2024, compared to the previous year.

However, reviews indicate that airlines are adhering to regulatory caps on basic economy fares for domestic flights.

The increase in ticket prices reflects a global trend influenced by supply-demand dynamics, including a reduced number of operational aircraft and heightened travel demand during holidays and festive periods, as well as fluctuations in aviation fuel costs and currency exchange rates.

To mitigate ticket price pressures, the Ministry is taking steps to adjust flight schedules, decrease turnaround times for connecting flights, optimize aircraft usage throughout the day, and increase the number of night flights.

Furthermore, the Ministry is focused on enhancing the enforcement of regulations concerning price declarations, listings, and the public disclosure of pricing details, recommending that passengers book early to access a broader range of pricing options.

N. Huyen