Virgin Australia Teams Up With Korean Air and HK Express as Higher Charges Squeeze Travel Budgets

Costs of traveling to Asia and Australia are under additional pressure, as Virgin Australia is reported to alert agents about increasing air fares. On the other hand, Korean Air and HK Express airlines are increasing fuel surcharges on specific flights in October 2026. Travel Weekly mentioned this notice made by Virgin Australia on 13 October, but the exact amount and start date of the latest increase have not been revealed yet. It is evident from the official announcements that there is an increase in the cost of several Korean Air flights and flights by HK Express that depart from South Korea and the Philippines.
Higher travel costs are putting pressure on selected journeys across Australia and Asia, although the changes depend on airline, route and departure market.
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Official October 2026 notices from Korean Air and HK Express show increased fuel surcharges on several international services, while Australian regulators have documented higher domestic fares earlier this year.
For holidaymakers, the important detail is where a journey begins and when a ticket is issued. Those conditions can change the amount payable, making a headline fare an incomplete guide to the final booking price and leaving families with different bills for seemingly similar trips during this month.
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October Travel Costs Depend on the Route
The latest airline tables reveal a selective pattern. Some international passengers face higher charges, while others see unchanged amounts or reductions.
Korean Air’s official October notice shows different movements across distance bands. HK Express’s published surcharge table identifies increases for journeys originating in South Korea and the Philippines.
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These notices support a practical comparison of booking costs. They do not establish that all fares across Asia have risen, or that every passenger will pay more overall.
Virgin Australia Fare Rise Report Adds Pressure to Travel Budgets
Virgin Australia has reportedly told travel agents that it is increasing airfares to offset higher fuel costs. The report follows an earlier forecast to reduce domestic capacity by 3% in the six months ending 31 December 2026; that capacity plan predates the latest fare notification.
Virgin Australia reportedly notified travel agents of higher airfares on Friday, 9 October 2026, according to report published on 13 October. The airline aims to offset increased fuel costs, but the report does not specify the latest fare increase’s size or effective date. Separately, its earlier financial outlook forecast a 3% reduction in domestic capacity for the six months ending 31 December 2026. That forecast was reported in August and is not a new October announcement.
| Item | Verified data or reported detail | Timing |
|---|---|---|
| Latest fare notification | Higher airfares reported; percentage and effective date unspecified | report dated 13 October 2026 |
| Notification to agents | Report says “Friday”, interpreted as 9 October | Date inferred from the report |
| Domestic capacity outlook | Forecast reduction of 3% | Six months ending 31 December 2026; reported in August |
| Earlier domestic fare increase | Approximately 5% across economy and business services | Since March 2026, according to the ACCC |
| Reason for pricing changes | Higher jet fuel costs and wider operating-cost pressures | Ongoing during 2026 |
Korean Air Changes Affect Selected Holiday Routes
For Korean Air tickets issued during October, the one-way fuel surcharge on routes including Incheon–Bangkok and Incheon–Singapore increased from KRW153,000 to KRW162,400.
The band covering Incheon–Jakarta and Incheon–Denpasar increased from KRW156,000 to KRW168,000. However, the band containing London, Sydney and Paris decreased from KRW325,500 to KRW322,000.
The airline therefore presents a mixed picture. Travellers should check their destination’s category rather than assume that distance alone determines whether the October charge increased. www.koreanair.com
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HK Express Increases Depend on Departure Market
HK Express increased its Korea-origin surcharge from KRW65,000 to KRW74,000 per sector from 1 October. Its Philippines-origin amount rose from PHP1,505 to PHP1,845.
The same table shows unchanged Hong Kong-origin amounts between the listed September and October periods. This distinction matters when comparing outward journeys, return journeys and separate bookings. hkexpress.com
| Airline and applicable journey | Earlier surcharge | October surcharge | Difference |
|---|---|---|---|
| Korean Air, Incheon–Bangkok/Singapore band | KRW153,000 | KRW162,400 | +KRW9,400 |
| Korean Air, Incheon–Jakarta/Denpasar band | KRW156,000 | KRW168,000 | +KRW12,000 |
| HK Express, Korea-origin journeys | KRW65,000 | KRW74,000 | +KRW9,000 |
| HK Express, Philippines-origin journeys | PHP1,505 | PHP1,845 | +PHP340 |
Sources: Official airline tables. Amounts are fuel surcharges, not complete ticket prices; application conditions differ by airline.
Australia Provides a Wider Pricing Context
The Australian Competition and Consumer Commission’s September report provides verified background.
Average domestic airfares were 3.5% higher year on year in May 2026 and 4% higher in June, before moderating in July. These are market averages, not an October increase specific to Virgin Australia.
The regulator also recorded stable passenger demand alongside capacity adjustments. Its findings explain the wider pricing pressure without establishing the amount of any latest airline notification. ACCC
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A Surcharge Increase Is Not the Whole Fare
A fuel surcharge is one component of a booking. A higher surcharge does not, by itself, establish the percentage change in the complete ticket price.
The final comparison should use the same route, dates, fare conditions and baggage requirements. Otherwise, two apparently comparable offers may cover different products.
For a family, the useful calculation is the total payable for everyone travelling. A small per-passenger difference can become more significant across several tickets and flight sectors.
Ticketing Date Deserves Attention
Korean Air’s notice applies to tickets issued from 1 to 31 October 2026, irrespective of departure date. It also says a subsequent surcharge increase does not trigger collection of the difference on an already purchased ticket.
That makes the ticketing date a relevant booking detail. Travellers should distinguish a saved quotation or reservation from a ticket that has actually been issued. koreanair.com
Ask the seller to confirm the issue date and applicable conditions before payment. For complicated itineraries, request a clear breakdown rather than relying on a verbal description of the price.
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What This Means for Tourism Businesses
The potential tourism effect is a budget adjustment. A traveller facing a higher flight bill may reconsider accommodation, transfers or activities, although these notices do not measure such behaviour.
Hotels and local businesses should therefore avoid treating surcharge changes as proof of falling demand. Their own reservations and cancellations provide stronger evidence of immediate commercial impact.
Tour operators can help by keeping quotations current and explaining which prices remain provisional. Clear booking information reduces the risk of customers discovering a changed total after planning the rest of their holiday.
Government Monitoring and the Outlook
Australia’s government announced its intention in the 2026–27 Budget to extend ACCC airline monitoring until December 2029. The regulator’s work tracks prices, costs, profits and competition.
The ACCC also warned that capacity reductions could place upward pressure on fares where demand remains resilient. That is a conditional assessment, not a guaranteed increase.
For travellers, the published airline tables remain the clearest guide to applicable charges. Neither table justifies predicting a fixed regional fare increase for the months ahead. ACCC
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Three Questions Travellers Should Ask
Are all Korean Air international surcharges higher in October?
No. Several bands increased, but others decreased. Check the official category for your route and the conditions applying to your departure market.
Does the HK Express increase apply to departures from Hong Kong?
Its October comparison shows increases for Korea-origin and Philippines-origin journeys. The listed Hong Kong-origin surcharges remained unchanged.
Should I compare the advertised fare or the final total?
Compare the final payable amount with the same travel requirements. Include necessary baggage, seats and other booking components before deciding which offer provides better value.
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The Booking Details Now Matter More
The primary recommendation for travelers is to make comparisons of full journeys before payment. The October changes to surcharges are genuine for selected services by Korean Air and HK Express but not uniform, nor do they signify a common increase in all tickets.
Australian regulatory figures add further perspective, although the latest Virgin Australia notice still needs to be verified by officials.
Families and travel agents can take a practical approach through quotations, which would include checking departure markets, ticket booking dates, flight sectors, and the services included. Conditions published by the airlines should direct every booking. An accurate comparison is more helpful than thinking that the extra charge now applies to all destinations.
Official Sources
- Korean Air: October 2026 international fuel surcharge notice
- HK Express: Official fees and surcharges
- Australian Competition and Consumer Commission: September 2026 airline pricing and performance update
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