The domestic airline industry is gearing up to capitalize on the peak travel season. With robust demand for overseas travel and favorable exchange rates, some routes are experiencing full bookings. Airlines are launching new routes and offering ticket discounts to capture passenger demand.
According to the airline industry on August 15, major routes for Liberation Day are seeing full capacity. All seats on the Gimpo-Jeju route operated by Eastar Jet were sold out as of the previous day. Key routes to Tokyo, Osaka, and Fukuoka in Japan also recorded over 97% booking rates as of the same day.
An Eastar Jet official stated, "Short-haul routes to Jeju, Japan, and Taiwan departing on the first day of the holiday are nearly full, and the same goes for return flights on the 17th." The airline's average load factor for the first half of this year was 93%.
Domestic low-cost carriers (LCCs) are accelerating the expansion of their international networks, focusing on Japan, China, and Southeast Asia in the second half of the year. With the summer vacation season continuing until the end of this month and the Chuseok holiday approaching, airlines are strategically positioning themselves to capture overseas travel demand.
Efforts are also underway to expand routes to China alongside existing popular routes to Japan. The demand for travel to China is rapidly recovering, supported by the visa-free policy between South Korea and China and the expansion of air transport rights.
According to the Air Transport Information Portal, the number of international passengers from South Korea from January to July this year reached 59,125,842, a 9.8% increase compared to the same period last year (53,823,297). During this period, passenger numbers on routes to Japan increased by 20% to 18,536,492, while those to China rose by 22.2% to 11,486,154, significantly outpacing the overall growth in international passengers.
New route launches are also on the rise to capture the increased demand. Jeju Air recently launched new routes from Incheon to Singapore and from Busan to Shanghai last month, with plans to introduce a new route from Incheon to Guilin in October.
Jin Air is also expanding its routes, having launched a new route from Incheon to Kobe this month and resuming flights on the Incheon to Yantai route. Next month, it will introduce a new route from Incheon to Yichang, enhancing its competitiveness in short-haul international flights. Eastar Jet has begun operations on the Incheon to Hohhot route and plans to launch a new route from Daegu to Zhangjiajie next month.
T'way Air, which positions itself as a selective service carrier (SSC), is expanding into medium- and long-haul routes, starting with a route to Vancouver, broadening its portfolio that has been focused on short-haul routes.
Recent easing of exchange rate pressures is also a positive factor for overseas travel demand. As of August 13, the won-dollar exchange rate stood at 1,419.40 won, while the won-yen exchange rate dropped to around 890 won per 100 yen, the lowest level in nearly two years since July 23, 2024 (884.1 won). The won-yuan exchange rate is also hovering around 210 won per yuan.
The strengthening of the won and the weakening of the yen create favorable exchange rate conditions, potentially lowering costs for travelers, such as local accommodation and food expenses, which could improve the sentiment for overseas travel.
Airlines are also expanding various promotions, including discounted tickets and partnership benefits, to secure demand during the peak season. T'way Air is currently running a promotion offering discounts for payments made through KakaoPay, TossPay, and BC Card throughout this month. Jin Air is offering a 5% fare discount for passengers who set different arrival and departure airports.
An airline industry official stated, "With strong passenger demand and favorable exchange rate conditions, the effects of the peak season in the third quarter are becoming evident. We will actively attract the increasing travel demand by further expanding new routes."
* This article has been translated by AI.
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