Global aviation markets are bracing for significantly higher airfares, as major South Korean airlines are set to implement their highest-ever fuel surcharges starting in May. The dramatic increase is directly linked to global oil price surges, fueled by escalating tensions across the Middle East.
Industry sources confirmed on Thursday that carriers set their May surcharges using the Mean of Platts Singapore (MOPS) benchmark. This indicator saw an average of US$214.71 per barrel between March 16 and April 15, placing airlines in the top-tier Level 33 bracket.
Aviation Sector Brace for Record Fuel Surcharges
Fuel surcharges are additional fees added to airfares specifically to offset the substantial increase in operational fuel costs. These rates are adjusted monthly under a government-guided distance-based pricing system.The jump is particularly sharp, as the May surcharge level jumped dramatically from Level 18 recorded in April. This marks the steepest on-month increase since the system was introduced in 2016 and represents the first time the highest surcharges tier has been applied.
Korean Air, the country's largest full-service carrier, detailed the increase for its international one-way fuel surcharge. For May, the charge will rise to between 75,000 won (US$50.89) and 564,000 won, up from the April rate of 42,000 won to 303,000 won.
How Global Oil Prices Drive Airfare Increases
The heightened costs are tied to global crude oil movements and are factored into the MOPS, which serves as the key benchmark for refined petroleum products across the Asia-Pacific region.Asiana Airlines Inc., the second-largest carrier, and low-cost competitors such as Jeju Air Co. are expected to announce their respective May surcharges in the immediate coming days. Experts warn that ticket purchases may rise sharply this month, as the pricing structure is tied to the ticket issuance date, prompting travelers to seek out relatively lower rates quickly.
Tourism Boom Boosts South Korea's Recovery Narrative
Despite the headwinds faced by the aviation industry, South Korea's overall tourism sector is showing a robust recovery trend. The nation welcomed a record number of foreign tourists in the first quarter of this year.Preliminary data from the Ministry of Culture, Sports and Tourism revealed that 4.76 million foreign tourists entered the country between January and March. This figure marks a 23 percent increase from the same period in 2025, establishing a new first-quarter record.
China spearheaded the inbound travel segment with approximately 1.45 million visitors, achieving a 29 percent rise. Japan followed with 940,000 visitors, marking a 20 percent increase, while Taiwan posted the sharpest year-on-year growth at 37.7 percent, bringing total arrivals to 540,000.
Tourist spending, facilitated by foreign cards, totaled 3.21 trillion won (US$2.18 billion), an increase of 23 percent year-over-year. Furthermore, a recent poll indicated that overall travel satisfaction had climbed to 90.8 points, up 1.1 points from the previous year’s 89.7.
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